Research On Financial Risk Assessment And Control Of SQ's Overseas Mergers And Acquisitions

"The Belt and Road" initiative has provided strong supporting support for Chinese enterprises in overseas mergers and acquisitions,improved the investment environment of the countries and regions along the border,and reduced the operational risks of overseas mergers and acquisitions,thus gaining greater room for development of Chinese enterprises.However,with the continuous expansion of the scale of overseas M&A of Chinese enterprises and the prominent M&A revenue,the financial risk of M&A faced by enterprises has emerged one after another,which to some extent restricts the development of overseas M&A of enterprises.How to identify and control the financial risks of overseas M&A,and how to formulate specific strategies and long-term strategies to deal with the risks are important issues for overseas M&A enterprises to achieve strategic development.This paper consists of six parts.First,the introduction.Put forward the background and significance of this study.It also states the current research situation at home and abroad,as well as the main research methods,contents and innovations of this paper.Secondly,related theoretical basis.Relevant theories focus on the concept of overseas M&A and the risk cases of overseas M&A.Thirdly,the overview of SQ company’s overseas M&A.The introduction of the basic information of the main M&A parties,followed by the restoration of the M&A process of SQ company,and the financial situation after the M&A of SQ company.For the follow-up of the paper to lay a certain objective situation.Then,the financial risk assessment model of SQ company’s overseas M&A is constructed.The establishment of financial risk assessment system mainly includes: pricing risk,financing risk,payment risk and financial integration risk.On this basis,the risk assessment model of risk control in this paper is constructed.Subsequently,SQ company’s financial risk control measures and safeguard measures for overseas M&A.According to the model construction of financial risk assessment in the previous chapter,this chapter makes suggestions and puts forward corresponding risk control measures.Among them,the specific measures for pricing risk control are: accurate acquisition of premerger information,timely prevention of exchange rate risk;specific measures for financing risk control: multi-channel financing,full use of global financial resources,improving the comprehensive quality of risk assessment team;financial integration risk control measures: establishing financial risk early warning information system,improving internal control audit system,and improving M & A Post integration capability.At last,the conclusion and Prospect of this paper are given.This paper makes an empirical analysis on the financial risks faced by sq company’s merger and acquisition by using relevant models,so as to make its conclusions more objective and persuasive,and reduce the criticism of subjective risk assessment.In addition,this paper analyzes the control of financial risk of SQ company,puts forward the feasible scheme and the guarantee measures to ensure the implementation of the scheme one by one,so as to provide some practical significance for the sustainable development of SQ company after merger and acquisition.At the same time,this paper discusses and evaluates the financial risk of SQ company’s overseas M&A through objective data and corresponding empirical analysis methods,and on this basis,puts forward one by one financial risk control solutions,in order to provide some reference value for other large-scale manufacturing enterprises’ overseas M&A decision-making in China.