Research On Financial Risk Of M Company Merges W Company

Enterprise can only develop and grow continuously in the fierce market competition to find its own survival.Merger and acquisition is an effective way for the external growth of the enterprise.As the various specific operate process of M&A that the enterprises faced with,they will also face with different financial risks in the concrete execution.The financial risk of M & A is caused by a series of behaviors.The numerous of M & A failures come from failing to control the financial risk effectively.If sufficient measures can be taken to control the financial risk of M&A,it can certainly reduce the failure and make M&A more effective and efficient.Based on the basic concepts and theories of M & A and its financial risk control,this paper makes a systematic analysis and evaluation of M company's merging with W company process,existing financial risk and risk control.And put forward some helpful suggestions on how to strengthen financial risk control of M&A.The paper is divided into five parts: the first part is introduction.It mainly explains the M&A background and significance,domestic and foreign research on M&A and its financial risk control.The second part is the basic theory of M&A and its financial risk control.It mainly expatiates on the concept and theory of M&A,its financial risk and risk control.This part provides the necessary theoretical basis for later chapters.The third part is M company's merging process with W company.It mainly introduces both of their backgrounds,their M&A motivation and process.The fourth part is the financial risk control and evaluation of M company and W company.It mainly analyzes and evaluates the financial risk in M&A between M company and W company,as well as the measures to control risk.The fifth part is about proposal for M company's merger with W company financial risk control.It mainly discusses how to strengthen the financial risk control of M&A between M company and W company,and also proposes some useful suggestions.