Research On Financial Risk Control Of Internet Enterprise Mergers And Acquisitions

After experiencing a surge in venture capital and a record total venture capital,China's Internet market has entered a new stage of integration,and investors are tired of relying on the sacrifice of profits to expand market share.China's Internet giants(Baidu,Alibaba,Tencent)are also known as "BAT",they dominate the industry's wave of mergers and acquisitions,the three involved and the number of mergers and acquisitions accounted for half of the total amount of mergers and acquisitions.The huge transaction amount involved in the merger is undoubtedly a luxurious capital feast,but it also brings huge risks,of which financial risk is the most prominent risk.Especially in recent years,the arrival of the Internet + era,the rapid innovation and vigorous development of enterprises has added uncertainty to the road of mergers and acquisitions of Chinese Internet companies.Judging from the results of mergers and acquisitions,the examples of mergers and acquisitions failing are numerous.M&A is a long-term and complicated process.There are many risks in the whole process of mergers and acquisitions,such as anti-acquisition risk,legal risk,financial risk and practical operation risk.Etc.,where financial risks play an important role from pre-M&A to the end of M&A.Before the merger,there is risk assessment of the target value.There are payment risks and financing risks in the M&A process.There is financial integration risk after the M&A.The financial risk of corporate mergers and acquisitions has a huge impact on the success of corporate mergers and acquisitions.Therefore,the research on financial risk control of M&A is of great significance to improve the success rate of M&A.On the other hand,compared with the West,China's research on enterprises,especially Internet mergers and acquisitions,started late and there are few documents that can be referenced.Therefore,the research on financial risk control in Internet enterprise M&A activities is the Internet that is developing at a high speed at this stage.Business is of great significance.Through the literature research method,this paper comprehensively reviews relevant research literatures at home and abroad,combs them,combines the theoretical basis related to financial risks of mergers and acquisitions,applies normative research methods and case analysis methods to classify the financial risks that corporate mergers and acquisitions may face.The risk assessment value of the target company before the merger,the financing risk and payment risk in the merger and the financial integration risk after the merger were introduced,and the causes were analyzed.Then take Alibaba's merger and purchase as an example.Tracking the situation of Alibaba's merger and acquisition,first explain the whole process of Alibaba's merger and acquisition,and then the problems and causes of the financial risks generated by Alibaba's entire process of merger andacquisition.Analysis,and then put forward control suggestions on the financial risks of Alibaba's mergers and acquisitions,and have a guiding role and reference for the financial risk control of Internet mergers and acquisitions.