Resarch On Financing Model Of Overseas M&A Of Enterprises

With the development of world economy and the acceleration of globalization,the overseas mergers and acquisitions of private enterprises,as an important pillar of China's economy,have gradually become a new role on the world economic stage.In order to quicken the pace of resource allocation and industrial integration in the global market,China's private enterprises continue to strengthen their strength,enhance their enthusiasm for foreign investment,and acquire market,technology,resources and other advantages through overseas M&A.However,the way of overseas M&A of private enterprises in China is not easy.Compared with western developed countries,the financing problem is one of the important constraints,which is manifested in its single financing means,mainly by traditional debt financing and private capital.In fact,whether overseas mergers and acquisitions can meet the expectations is closely related to the smooth financing channels and appropriate financing methods.Financing problems not only affect the quality and efficiency of overseas mergers and acquisitions of private enterprises in China,but also play an important role in the sustainable development of private enterprises in China.How to make full use of the existing financing resources,grasp the favorable conditions of the situation and policies,actively broaden the financing channels and improve the financing arrangements are the key issues to be considered in the implementation of overseas mergers and acquisitions by China's private enterprises.Therefore,this study focuses on the financing mode of overseas M&A of private enterprises in China,adheres to the combination of theory and practice,on the basis of consolidating the related concepts and theories of overseas M&A and its financing management,selects XW Company as the specific research object,through the external environment and internal financing of overseas M&A of private enterprises.Conditions are comprehensively analyzed and first-hand data are obtained through questionnaires conducted by industry experts and frontline personnel in M&A financing to analyze the status quo and key success factors of XW's overseas M&A financing mode,so as to put forward constructive optimization countermeasures and suggestions for future overseas M&A financing of private enterprises in China.China's private enterprises can provide reference and reference for the sustainable development of overseas mergers and acquisitions.It is found that XW company has important value and far-reaching significance for Kerr company to carry out overseas M&A,and this overseas M&A needs a lot of cash as support,so M&A financing is particularly important in this case.XW company implements the mixed financing mode including five financing means of "joint PE + two-tier M&A loan + bridge financing + fixed increment financing + Earnout".The key factors for the success of XW's overseas M&A financing mode include diversified financing instruments,wide financing channels,sufficient market operation space and perfect risk control mechanism.Therefore,this study puts forward some suggestions to optimize the financing mode of overseas M&A for private enterprises in China:(1)diversified portfolio and innovative financing tools;(2)defining and expanding financing channels;(3)constructing and improving risk control mechanism.In view of the optimization of overseas M&A financing mode for private enterprises in China,the paper puts forward some safeguard measures,such as actively promoting the degree of market-oriented operation,establishing and dredging relevant communication channels.