Research On Financial Risks And Performance Of Overseas M&A

In the course of more than 30 years of opening up,China's opening strategy has kept pace with the times and gradually deepened,in line with the general trend of economic globalization.“The Belt and Road”strategy put forward in 2013 is an important measure for China to further expand its opening up and create a good external environment.Through the implementation of “the Belt and Road” strategy,Chinese enterprises can break through trade barriers,obtain technical support,expand economic scale and promote enterprise development through overseas mergers and acquisitions.In recent years,overseas M&A of Chinese enterprises have become increasingly frequent.Based on the relevant theories of financial risk management in the process of overseas mergers and acquisitions,this paper takes the case of Bright Dairy's acquisition of Israel's largest food company,Tnuva Food Group,as the research object.On the basis of theory,this paper analyzes the motivation,financial performance analysis and financial risk analysis of this overseas merger.According to the financial data and indicators,it analyzes the financial performance before and after the merger,points out the financial risks of the M&A case,and elaborates on the planning in the process of M&A.This paper enriches the case studies of overseas investment in dairy companies under“the Belt and Road” context.The research results of this paper hope to provide experience and reference for other dairy companies to more smoothly implement cross-border mergers and acquisitions and further improve the international competitiveness of Chinese enterprises,and improve the ability of Chinese enterprises to identify and avoid financial risks.