Study On The Risk Control Of The Merger And Acquisition Of Shenwan Hongyuan

In order to gain a greater competitive advantage,especially in the case of limited strength and industry transformation,mergers and acquisitions have become the "good medicine" to solve the capital expansion and resource allocation faced by enterprises.Benefits and risks,however,how the enterprise mergers and acquisitions both sides of the actual situation analysis of the risks and take effective measures to prevent risks has become important measures of improve enterprise merger and acquisition's earnings.In 2014 the state council issued "about further promote the healthy development of the capital markets several opinions,at the same time in the securities industry concentration degree is low and the opportunity of industry transformation,Shenyin Wanguo,in March 2015 completed the Hongyuan Securities and merger and acquisition set up Shenwan Hongyuan securities co.,LTD.In order to further study of merger and acquisition risk control,this paper takes Hongyuan Securities,Shenyin Wanguo M&A as the research object,using the case method,combining with the Angle of enterprise merger and acquisition process and risk properties of Hongyuan Securities,Shenyin Wanguo M&A risk identification and analysis,and the main side Shenyin Wanguo universal response to the merger and acquisition risk measures are studied and evaluated.This paper has the following findings:First,after Shenyin Wanguo's acquisition of Hongyuan Securities,the principal and partner Shenyin Wanguo achieved better integration of resources such as business,resources,and geographical resources.This merger has achieved good M&A performance,which is not only reflected in the capital market.The short-term response of the merger is good,and after the completion of the merger,even if the stock market fluctuations,Shenwan Hongyuan still has a good performance;Second,the relationship between income and risk is constant.The acquisition,Shenwan Hongyuan also facing many M&A risks.Its risks run through the whole process of mergers and acquisitions,involves the company's strategic risk,management risk,financial risk and loss risk;Therefore,how to deal with the above risks is the key to the successful acquisition of Hongyuan Securities.Finally,in the face of many M&A risks,the company has adopted a series of risk response measures from the establishment of M&A plan to the integration of the merger plan.Including mergers and acquisitions due diligence,outlets and brand integration,payment methods and exchange ratio selection,planning of the human remuneration system and other systemic risk prevention measures,so as to prevent and control risks,make the merger and acquisition risk within the controllable scope of the enterprise.Effectively increase the income from mergers and acquisitions.