Chinese Enterprises Overseas M&a Legal Risk And Prevention

The global financial crisis in2008provides golden opportunity for our overseasM&A, mergers who participate in overseas M&A surge in the enterprise. But,according to the report, Mergers and acquisitions in our country who enterprise inoverseas always confronted with various legal to risk, leading to the failed merger. It isan important problem for our mergers to how to prevent the legal risks effectively. Thisarticle describes three stages of overseas M&A and legal risk, ultimately,make a rangeof strategies for the government and businesses, improve the success rate of overseasM&A.This article is divided into three chapters, about thirty-one thousand words.The first chapter is the overviews about our overseas M&A. First, analysis thereasons of overseas M&A, Second, down there in the present stage of foreignacquisition of new features.The second chapter focuses on the legal risks of overseas M&A. This text,according to the time of occurrence of risk which is divided into three stages to discuss:First, the legal risks of ready stage faced including: overseas mergers and acquisitionsfrom our domestic legislation on the blank, overseas acquisition approval process,overseas investment insurance system immature, overseas M&A object evaluationmechanism not mature. Second, the legal risk of trade stage faced including: followedby those from the host country antitrust investigations and national security review, thetarget for the anti-corporate mergers and acquisitions, financing and payment fouraspects of legal risk. Finally, the legal risks of operation stage faced including:corporate governance, intellectual property, environmental protection four aspects oflegal risk. Through each stage of the legal risks makes a comprehensive and systematicanalysis, enhancement enterprise risk consciousness.The third chapter presents the main coping strategies for the legal risks. first,preparation of legal risk prevention measures including: build our legal system, soundoverseas investment approval system, perfect overseas investment insurance system, make clear acquisition strategy, etc. Second, trade measures against the legal risk stageincluding: reduce the risk of anti-monopoly law, strengthen the communication andcooperation, full understanding of the merger measures, perfecting the financingchannels and payment, etc. Finally, the legal risks of operation stage preventivemeasures: pay attention to the integration of after the merger, guard against intellectualproperty rights of legal risk, avoid environmental protection laws risk, reduce the laborand employment aspects of legal risk, etc.