Research On Financial Risk Under The Strategy Of Sunac M&A Development

In the development of recent years,Sunac has grasped the historical opportunity of China's real estate industry growth,using frequent leverage level to conduct frequent M&A transactions,obtaining a large amount of project resources and land reserves,and at the same time exerting its own turnover efficiency.The characteristics of high sales and strong sales have achieved a leap in scale.But the benefits and risks coexist.The radical M&A development strategy also lays a lot of seeds of risk.These financial risk risks threaten the security of the corporate capital chain.With the introduction of a series of national policies to curb overheating of real estate,stricter regulation of capital markets,increased difficulty in financing,and the emergence of a downward cycle in the industry,the industry has brought both supply and sales pressures to the industry,which also makes its financial risks.Zoom in further.After reviewing the relevant research literature on financial risk issues,this paper selects the F-score model and the financial indicator analysis methods to analyze the financial risks of Sunac under the strategy of M&A growth.Through the vertical comparison of its own business in the past five years and the horizontal comparison with the same industry,it is found that there are some hidden financial risks in the operation of financing,land acquisition,development,sales and payment,such as excessive Leverage,lower quality of profit,relatively simple financing methods,and failure of cross-sector M&A investment.Then,the reasons for the risks are discussed from the aspects of internal business decision-making factors and external environmental factors.Finally,some countermeasures against the sources of these risks are proposed.The prevention and control of financial risks is very important for every enterprise.If you want to continue to operate and make your company grow up,you must always be vigilant and keep your financial risks at a reasonable level.The real estate industry is subject to greater pressure due to its capital intensive and long project cycle.Under the own high-lever M&A development strategy,Sunac faces financial risks and risks.How to prevent and control these risks?The author hopes that through the research and analysis of this paper,it can provide some reference for the company's managers and through this The company's analysis also provides certain reference value to other companies in the real estate industry.