Coal Industry Issues Related To Mergers And Acquisitions Of Financial Risk

Since reform and opening, China's coal industry has made remarkableachievements in development, but industry concentration is low, the waste ofresources and serious environmental pollution, exploration and development disorder,and the production of multiple accidents and other issues are still outstanding. Mustfollow the safety, conservation, clean and sustainable developing principle, adhereZhengfu guide combined with a market mechanism, fully arouse the initiative, pushforward Meikuang business Jianbingzhongzu, eliminate backward production capacity,optimization of industrial structure, improve intensive production of coal, safety andtechnology, promote the development of modern coal industry. However, large-scalecoal enterprises mergers and acquisitions activity, are associated with high-risk,financial risk which is the main risk, M &A Financial Risk Prevention and Control ofa very diffcult task. Therefore, conbining the characreristics of the coal industry, onmergers and acquisitions of financial risks in-depth study, positive theoreticalsignificance and practical significance.This article is in the context of qualitative and quantitative analysis method toexpand on the text of the study, this paper on the acquisition of financial riskconnotation defines, discusses M & A types and causes of the financial risk, the coalindustry M & AFinance Risk is divided into four main categories: business valuationrisk, financing risk, payment risk and financial integration risks; Second, brieflyintroduced the status of China's coal industry and the merger situation; of the coalindustry and major M & A form; again, according to the characteristics of the coalindustry, the establishment of the M & A financial risk assessment system, using theFuzzy set theory and AHP combination of fuzzy comprehensive evaluation method, amathematical model, with the specific case of mergers and acquisitions, M & Aquantitative analysis of financial risk; Finally, the coalindustry mergers andacquisitions of financial risk prevention and control problems, made specificrecommendations to improve the prevention and control of China's coal industrymergers and acquisitions of financial risks.