Research On The Financial Risk Of Fei Da Environmental Protection’s Merger And Acquisition Of Zi Guang Environmental Protection

With the rapid development of our economy,people’s quality of life has been greatly improved,people pay more and more attention to the quality of life,the requirements of environmental protection is also more and more high,environmental protection industry,as a rising sun industry in China,is gradually paid attention to by the capital market.In order to increase the market share and master the right to speak,environmental protection enterprises have adopted mergers and acquisitions to expand the business scope and enhance the comprehensive strength.In recent years,China’s environmental protection industry mergers and acquisitions and mergers and acquisitions scale continuous growth,a record 2021,88 takeover and treatment of annual accumulative total scale of mergers and acquisitions topped 50 billion yuan,but mergers and acquisitions successful companies accounted for only about 20%,thus,merger and acquisition process there are many uncertainty and risk,financial activity is an important part of mergers and acquisitions,Financial risk is an important content that can not be ignored in the process of mergers and acquisitions.Therefore,this paper identifies the financial risks of Fei da Environmental Protection’s merger and acquisition of Unigroup Environmental Protection from the four stages of financial activities involved in the merger and acquisition,namely,the pricing stage,the financing stage,the payment stage and the integration stage,evaluates and analyzes the financial risks,and finally gives the countermeasures of practical significance.Firstly,this paper expounds the research background and theoretical and practical significance of the research,combs the research status of domestic and foreign scholars on merger and acquisition financial risk,the causes of merger and acquisition financial risk,the identification of merger and acquisition financial risk,and the response of merger and acquisition financial risk,and clarifies the concept definition and theoretical basis of this paper.Secondly,from the perspective of the acquirer,this paper analyzes the background,motivation and latest progress of Fei da Environmental Protection’s merger with Unigroup,and identifies the pricing risk,financing risk,payment risk and integration risk in the merger process.This paper uses the questionnaire method,expert scoring method,analytic hierarchy process(AHP)and fuzzy comprehensive evaluation method,which are both qualitative and quantitative methods,to study the financial risk of Fei da Environmental protection’s merger and acquisition of Unigroup environmental protection.Through analysis,it is found that the comprehensive financial risk of Fei da environmental protection’s merger and acquisition of Unigroup environmental protection belongs to the medium risk level.Finally,according to the research conclusion of this paper,the paper summarizes the measures taken by Fei da Environmental Protection on pricing risk,and draws enlightenment.Fei da Environmental Protection has not taken measures for the financial risks in the financing stage,payment stage and integration stage,so this paper puts forward countermeasures according to the actual situation,aiming to provide relevant reference and reference for enterprises,especially environmental protection enterprises,to identify and cope with the financial risks in the process of merger and acquisition.Research on the financial risk of environmental protection enterprises merger and acquisition can help cause the attention to the financial risk in the process of merger and acquisition of enterprises and promote the success rate of mergers and acquisitions.