Research On The Evaluation And Control Of Financial Risk About Cross-border Mergers And Acquisitions Of Enterprises

Under the influence of the global wave of cross-border mergers and acquisitions, Chinese enterprises’ cross-border M&A has already begun to take shape, the success of mergers and acquisitions bring huge benefits to the enterprise, expand the international market, and subsequent development lays the foundation for the enterprise, the failure of mergers and acquisitions to make the operation and development of the enterprise for a long time constrained, severe losses. So enterprises in bold to transnational mergers and acquisitions to enter the international market, at the same time, the focus of risk and the control of risk are particularly important, the financial risk is often easily ignored by people, but it occupies an important position. Based on the enterprise financial risk for the analysis of cross-border mergers and acquisitions, according to the enterprise cross-border merger and acquisition process of subdividing the financial risk, on the basis of the design model to measure the enterprise financial risk of cross-border M&A, and take Sany M&A Putzmeister for example, the main financial risk involved in the expression form, measuring, and preventive measures were analyzed, and eventually draw a general cross-border M&A financial risk prevention and control measures.This article is divided into six chapters.Chapter1, Introduction. First of all, the history and current situation of cross-border merger and acquisition both at home and abroad are summarized, under the background of the study, which leads to the research of this paper point enterprises cross-border mergers and acquisitions of financial risk, then explain the research significance of this paper, the identification and control of the financial risk, let enterprises acheve cross-border M&A strategic objectives successfully, finally, the instructions of the paper’s research content and frame of research, at the same time, the article uses the qualitative and quantitative method, combine with the method of case analysis to do this reaseach. At the end of this chapter is the contribution of this paper.Chapter2,Literature review. This part mainly starts with the existing literature, to comb the meaning, types, causes, identification and evaluation, and preventive measures of the cross-border M&A financial risk, the research in this paper provides a rich and solid theory foundation, and concluded that the shortage of the existing research, namely, the financial risk in M&A rarely separate comprehensive research by scholars at home and abroad. and. In addition, due to the lack of enterprises’internal information and statistical data, the academic study of M&A risk stay in qualitative research, quantitative research is not much, these insufficients provides a starting point for the research of this paper.Chapter3, The introduction to the theory of cross-border M&A financial risk. This part is the theoretical research part, all-round study of cross-border M&A financial risk. First clear of the connotation of enterprise cross-border M&A financial risk. Secondly, according to the dynamic and continuous financial process of cross-border M&A, corss-border M&A financial risk can be divided into pricing risk, finance risk, debt risk and financial integration risks, subdividing each risk at the same time; Finally, this paper introduces the qualitative and quantitative evaluation methods of cross-border M&A.Chapter4, the evaluation and control of financial risk about cross-border M&A based on sany M&A Putzmeister. This chapter for the case analysis part, at first, a review on Sany M&A Putzmeister, to understand the information of both sides, the background of this M&A and the playback of this event. And then an analysis on the financial risk of this M&A, analysis around the above pricing risk, financing risk, debt risk and financial integration risks. On the basis of qualitative analysis, using fuzzy comprehensive evaluation method to evaluation the financial risk of Sany M&A Puzmeister quantitativly. Finally, in combination with the results of qualitative analysis and quantitative analysis, to study the prevention and crotrol of the financial risk produced in the process of Sany M&A Putzmeister.Chapter5, The prevention and control of cross-border M&A financial risk. Whether in the study of the theory of the financial risk of cross-border M&A, model building, or case found that ultimately rests on the solution of the problem is the meaning of the study, so this part on the basis of the above, from the perspective of M&A pricing risk, finance risk, debt risk and financial integration risk to proposed cross-border M&A financial risk prevention and control measures in general.Chapter6, Conclusion, deficiencies and prospect. First, a summarize of the topic significance of this paper, at the same time, a review of the literature review, then, a highly generalization of the theoretical and empirical analysis made by the author, to show main conclusion and the application of this paper, also some relevation on the cross-border M&A financial risk control, finally pointed out in this paper, the deficiencies and future possible solution.The main contribution of this paper is based on the financial risk in-depth and systematic study of cross-border M&A, from all aspects of its formation, subdividing the risk and the risk of specific unceasingly, makes more operational risk management, and based on this framework to build financial risk index evaluation system and evaluation model was constructed, at the same time use Sany M&A Putzmeister for example, on the basis of qualitative and quantitative analysis, we got advice for cross-border M&A financial risk prevention, which has certain theoretical contributions and practical value.The deficiency of this paper lies in that while this article is dedicated to design a model which can measure enterprise cross-border M&A financial risk, but because of the limit of my research ability and the time, it still has certain limitation, in the model using the expert questionnaire, even chose experts in order to avoid the subjectivity of human scale and bias, but this kind of deviation is actually difficult to avoid. At the same time, the performance of cross-border M&A financial risk is varied, it will be affected by unknown factors, this article only analyst the important ones for most cases, and can’t cover all financial risk. At the same time, on the research methods, this article adopts the case analysis, so inevitably there will be a question that single case analysis doesn’t have general representative. On the data source, the main data this paper uses is from external, which is not so accurate and reliable compare to this information comes from internal. Hope in the later study, could set our from the above several aspects of deficiency, make the conclusion more precise and accurate.