State-owned Energy Enterprises Cross-border M&A Risk And Countermeasure Research

Cross-border M&A is not only a kind of trend, but also become the only way for the state-owned energy companies overseas expansion. At present, our country government related department of energy began to major overseas energy investment project to give discount loans, preferential loans and improve financial capital injection ratio and other supporting policies. In this paper, based on the theory of state-owned energy enterprises transnational investment and mainstream theory, by the state grid corporation of micro-level analysis of the status quo and characteristics of China’s energy enterprises transnational investment and combining with the actual case analysis multinational development risk.In this paper, through the way of total score step by step in-depth discussions of state energy company on the way of cross-border M&A will encounter risks and the corresponding countermeasures. Finally introduced how to reduce the risk of the enterprise investment portfolio with degree. Among them, the first illustrates is because the existing state-owned energy companies are often at the same time to the multinational enterprise mergers and acquisitions, has brought the possibility of portfolio investment.In general, the main contribution of this paper is that the state-owned energy enterprises to multinational development risks to make a detailed summary interpretation-the system risk of the enterprise and the external risk of the enterprise, and for each risk are effective and feasible countermeasures are given, specifically the state-owned energy enterprises in cross-border M&A will face special risks. In lists the state grid corporation of national merger cases after the main case, the recognition of the risk of each case types have a clear definition.