Research On The Financial Risk Of Enterprises Based On Leveraged Buyout In Cross-border M&A

Due to the "going out" policy of Chinese enterprises and the transformation and development of China's economy,more and more Chinese companies have carried out crossborder M & A.On the one hand,the cost of financing is getting lower and lower as the world economy slows down.And now China's economy is also in the stage of transformation,and various industries are stepping up the speed of integration.In order to maintain a good development,companies need to explore new profit growth points.At this time,M & A has become a way of development.On the other hand,the Chinese government is more inclined to the development of economic diversity,so some companies regard the overseas market as another area of development.In the traditional way,when the amount of cash can not meet the demand,LBO can solve this problem.This way of M & A is very novel,but there are also highrisk problems.In a word,the research problem of this paper is based on the financial risk research of leveraged buyouts in cross-border M & A,and puts forward corresponding preventive measures for each stage of risk,for the reference of similar enterprises in the future.Based on the related theories of cross-border leveraged buyouts,this paper studies and analyzes how to manage the financial risks in the process of cross-border leveraged buyouts through various methods.First of all,this paper elaborates the concept and characteristics of leveraged buyout and cross-border M & a financial risk,and divides the cross-border M & a financial risk into four categories according to the different links in the process of cross-border M& A,in-depth study and analysis of the four types of cross-border M & a financial risk.Secondly,through the analytic hierarchy process(AHP),the fuzzy comprehensive evaluation method and the expert scoring method in the qualitative evaluation method,the paper selects the appropriate evaluation index of the financial risk factors of cross-border leveraged M & A,determines the index weight,and constructs the financial risk evaluation system of cross-border leveraged M &A.Thirdly,the research object of this paper is Xiwang food's leveraged M & A of Kerr company.On the premise of having a better understanding of the situation of Xiwang food's M & A,we carefully evaluate the financial risk of this cross-border M & A,and make a detailed study of the problems presented in the financial risk of this cross-border leveraged M & A of Xiwang food.Finally,according to the case,we analyze how to prevent the financial risk of cross-border leveraged M & A of Xiwang food Business risk.Finally,according to the case study,how to prevent the financial risk of cross-border LBO is analyzed.By studying this topic and combining with typical cases,enterprises can be more clearlyaware of the risks and challenges to be experienced by acquirers in cross-border leveraged buyouts,and remind companies to pay attention to the relevant issues in the process of leveraged buyouts,and prepare for risk prevention in advance.At the same time,it can bring some experiences and lessons for some enterprises in the field of overseas LBO,and provide new ideas and methods for them.