Analysis Of Overseas Merger And Acquisition Of State Grid Corporation Of China

With the acceleration of global economic integration, the open market has become the first choice for most countries in the world, in order to optimize the allocation of resources in the global scope, all the countries in the world (especially in the developed countries) of large enterprises, are actively go out of the country, to develop the International market. In recent years China’s enterprises transnational investment increased year by year, there has been a considerable part of the central enterprises and large and medium-sized enterprises to carry out a large-scale investment, there are more than tens of millions of dollars of investment. To further promote foreign economic cooperation, optimize foreign investment structure, the implementation of the strategy of "going out", the Ministry of Commerce jointly with the relevant departments of the state has formulated a series of encouraging policies, involving closely related to investment credit, taxation, foreign exchange, insurance, market orientation and other fields, and actively carry out in-depth, while continuing to overseas investment the reform of enterprise management system, especially the establishment of economic security system and supervision system and improve the cooperation with foreign countries to adapt to the reality, Chinese enterprises "going out" process is more convenient, user-friendly. The concrete implementation measures, more obvious to promote the "going out" process, the overseas enterprises to invest in the harvest, but also accumulated valuable experience, the emergence of a number of well-known in the world of international famous enterprises. As a positive response to China’s "going out" development strategy, the China State Grid Corp look far ahead from a high plane, in order to achieve the long-term development of the long-term development of national energy resources and optimize the allocation of resources in the world as the starting point for planning grid, to speed up the popularization and application of the development of UHV power grid technology and smart grid, adhere to independent research and development, master the core technology, has been in the forefront of the international power system technology, take the initiative in the international electric power cooperation, with the "going out" strategy, the "network of the world","power to" a blueprint for the development of the overall pattern has emerged.As the foreign strategy of enterprise development, enterprise merger is the integration of social resources, products comply with the law of development of market economy, for the development of enterprises play a significant role in. Of China’s overseas M&A, more important is to provide continuous reform "catalyst", encourage enterprises to further improve the corporate governance structure, establish a strict constraint mechanism of capital risk control and new market incentive and restraint mechanisms, a set of, the introduction of advanced management concept, perfect the rules and regulations and scientific business process, through the external supervision by omission, to perfect internal control from loose to evolutionary process strict, analysis of its feasibility, overseas mergers and acquisitions in the process of environment, risk and so on, can clear the China State Grid Corp in the overseas investment in a variety of advantages and disadvantages, for the China State Grid Corp on how to foster strengths and circumvent weaknesses, avoid risks, and provides a good reference at the same time, the method to other state-owned enterprises in China to address the economic problems in go out of the country, in the face of the international market environment, some experience and reference are also provided.This paper is divided into six parts, the main contents of each part are as follows:The first part is introduction. Introduces the research framework and ideas of the research background and research significance, this article, and introduces the main research method.The second part is the literature review. This part mainly introduces the research results at home and abroad to the internationalization of enterprises, mergers and acquisitions, and the results of these studies are discussed comprehensively and objectively, and puts forward the author’s own research perspective.Analysis of the third part of the national grid overseas merger and acquisition theory. Explains several important concepts involved in this paper more, some related theories of M&A and enterprises, including mergers and acquisitions of financial integration and other related theory.Feasibility of previous merger review and outbound M&a fourth part of the analysis of State Grid Corporation of china. In this part of the review of China net previous large overseas acquisitions, a comprehensive analysis of the reasons and feasibility factors for overseas acquisitions of selection, and the use of SWOT analysis method, the specific list the overseas merger and acquisition advantage, disadvantage, opportunity and threat.The fifth part of case analysis, the acquisition of China State Grid Corp shares in Portugal’s state energy company. The first account of the State Grid Corporation of the Target Corp at the causes of the M&a background, M&A and the basic situation of both sides, and then change through2011and2012in the same period financial statements, analysis of changes in financial on the country network company after the merger, and the introduction of the corresponding reference.The sixth part improve China State Grid Corp overseas merger advice. Based on the part of the conclusion of case analysis, respectively, from the macro and micro aspects of network or similar enterprises overseas mergers and acquisitions to put forward the improvement proposal.There are two main contributions in this paper:The first:standing on the unique perspective of state-owned enterprises overseas mergers and acquisitions, based on the analysis to the current overseas investment by state-owned enterprise environment, the China State Grid Corp before overseas acquisitions, the acquisition of the outcome of special historical background, M&A, M&A after the financial change is introduced and analyzed, laid the foundation for future more in-depth analysis of overseas mergers and acquisitions of state-owned enterprises in china;Second:through the introduction of enterprise overseas merger and acquisition related theory, combined with the practice of the Chinese market and the international market, select is of special significance to the case, by comparing the change before and after M&a country network company in financial phenomenon, it has practical significance to the investors and the management of the company and the conclusion, through macroscopic and the micro level improvement suggestions, trying to provide some reference for the similar state-owned enterprises in overseas mergers and acquisitions.