Research On Financial Risks Control Of Chinese Enterprises’ Crross-border M&A

Along with the global economic integration,cross-border mergers and acquisitions as a main way offoreign direct investment has a growing trend in the world. After our country entry into WTO, cross-borderm&a has become the main way of our country enterprise towards the world. After leting go of the foreigntrade restrictions of private enterprise in our country, our country enterprise overseas m&a has entered arapid development stage. As the world financial crisis in2005, China’s overseas m&a reached a climax.there exist big risk,risk and financial risk is all sorts of m&a.Chinese enterprises go abroad by the way ofCross-border m&a just tens of years, due to the lack of risk control,the rate of m&a failure has beenhigh.The relevant Chinese enterprises transnational m&a theory and practice get the attention of theacademia and the business more and more, we must face and deep research important topic in seriously.Based on the combination of theoretical research and case method for Chinese enterprisestransnational mergers and acquisitions of financial risk control for research. This article first expounds therelated theories of enterprise m&a financial risk, including mergers and acquisitions, mergers andacquisitions motivation and m&a financial risk, and points out the content of the financial risk of the maincontrol: target enterprise evaluation risk, financing risk and payment risk, integration risk.Then combiningwith the current economic background,by analyzing the present situation of Chinese enterprisestransnational mergers and acquisitions and financial risk control present situation, points out the reasons forthe formation of transnational m&a financial risk.Then on the basis of the theory in this paper, throughmergers and acquisitions of shuanghui international case analysis of the financial risk and financial riskcontrol, sum up experience and put forward some Suggestions combined with cases.The main contribution of this paper is to through the combination of theory and case study of mergersand acquisitions in the whole stage of the financial risk faced,put forward some measures to preventfinancial risks.Hope that through this case study analysis can help Chinese enterprises in transnationalmergers and acquisitions take reasonable measures are used to control financial risk, improve the successrate of Chinese enterprises transnational m&a.