Research On The Financial Problems Of A Company Merger And Acquisition Of B Mining Industry

Listed companies often improve the financial status through mergers and acquisitions,improve business performance,and seek new growth points in the company’s development process.However,the development of capital market is not perfect.Information asymmetry,human manipulation and the existence of uncontrollable factors will increase the possibility of failure.The reasons and main risk types in the process of M&A can help the company to prevent and control the risk through the process,so as to ensure the orderly M&A.This paper,taking the A company M& as the research object,uses the method of combining theoretical analysis and field investigation,the integration process to the final disposal of the M&A assets,analyzes the main causes of the failure of the A 公司 M&A of Xin Feng mining industry in a comprehensive way.There are many problems,such as incomplete due diligence,half understanding of the target enterprise,a single stock right,complicated geological conditions and difficult mining in mining area,difficulty in security risks and untimely decision of disposal.Through the analysis of the problems,we can get the following enlightenment:first,A company needs to regulate the evaluation procedure of the company’s investment,including the employment of third kinds of professional institutions,thorough due diligence,full communication and negotiation,and the regulation of the company"three meeting",the balance of the rights of the board of directors;second 5 we adopt the diversification of equity design,set up the ownership structure flexibly.Third is to standardize the mining process of the company,from the standard of mining system,the renewal of technology,the safety management and the ecological protection,and strictly follow the regular exercise,so as to reach the zero risk and lower the risk of the first line.Cost,high efficiency goals;fourth is to improve the company’s professional team,to establish first-rate front-line personnel and efficient functional personnel;fifth,to stop the company’s loss,including constant attention to project progress,making a regular risk assessment of the merged enterprises,determine whether the project is followed by the set stop point.In the meantime,managers need to combine relevant financial instruments and rationally face sunk costs.