Risk Study On Tianqi Lithium’s Transnational Strategic Merger And Acquisition Of Sociedad Quimica Y Minera De Chile S.A.

In recent years,transnational merger and acquisition has become an important path for enterprises to obtain advanced technology,coordinate the upstream and downstream industry chain and integrate the international market,so as to gain competitive advantage.Different from other acquisition types,transnational strategic merger and acquisition can seek the integration and collaboration of operating resources of both sides based on the industrial advantages of both sides,tap the development potential of both sides,and thus help enterprises avoid market barriers,make up for their weaknesses,and realize the rapid improvement of overall strength.However,transnational mergers and acquisitions are faced with complex and changeable environmental factors.The identification,evaluation and prevention of risks in the process of mergers and acquisitions are related to the smooth realization of synergies after mergers and acquisitions.Therefore,starting from the case of Tianqi Lithium’s transnational strategic merger and acquisition of Sociedad Quimica Y Minera de Chile S.A.,this paper studies and analyzes the risks before and after the merger.This paper uses literature research method,case study method,qualitative analysis method and quantitative analysis method,combined with information asymmetry theory,market power theory,synergistic effect theory and order financing theory to study the risk of transnational strategic mergers and acquisitions.Different from other articles focusing on financial risks,this paper divides M&A into preparation,execution and integration stages on the one hand,and analyzes financial and non-financial risks at each stage.On the other hand,it combines the characteristics and advantages of entropy method and grey relational degree model to build an evaluation system based on financial and non-financial indicators to systematically evaluate the risks of cross-border strategic M&A.Firstly,this paper analyzes the background and significance of relevant research,reviews the research status of cross-border M&A and its risk prevention at home and abroad,and further sorts out the relevant concepts and theoretical basis.Secondly,this paper summarizes the process and motivation of Tianqi Lithium’s transnational strategic merger and acquisition of Sociedad Quimica Y Minera De Chile S.A..Then,the M&A is divided into three stages,namely,the preparatory stage,the execution stage and the integration stage.The risks of each stage are identified and analyzed,and the financial and non-financial indicators are further selected to build a risk assessment system.The entropy method and the grey relational analysis method are used to evaluate and analyze the overall risks before and after the cross-border strategic M&A.Finally,aiming at the specific risks and problems of Sociedad Quimica Y Minera De Chile S.A..different stages of Tianqi lithium’s transnational strategic merger and acquisition,targeted risk prevention measures are put forward,and on this basis obtains related enlightenment of our country enterprises in transnational strategic merger and acquisition risk prevention.After analyzing the M & A risk of Tianqi Lithium’s transnational strategic M&A of Sociedad Quimica Y Minera De Chile S.A.,this article summarizes the following enlightenment: First,strengthen the supervision of transnational M&A.Relevant departments should strengthen the qualification examination of cross-border mergers and acquisitions of domestic enterprises,so as to reduce cross-border acquisitions due to blindly following the trend and expansion.Second,to establish a diversified merger and acquisition fund system.The government should set up relevant M&A funds,especially for some new energy enterprises with important strategic significance to provide financing convenience,introduce different investors such as institutional investors,foreign investors,securities companies,and so on,so as to expand the financing channels for M&A and reduce financing risks.Third,improve the risk prevention mechanism of cross-border mergers and acquisitions.Enterprises should actively cultivate the risk awareness of cross-border mergers and acquisitions,vigorously introduce professional management personnel to establish a sound risk identification and prevention mechanism,and conduct real-time monitoring and investigation of risks in daily business activities,so as to reduce the risk of cross-border mergers and acquisitions and reduce losses.