Research On The Financial Risk Of ChuTian International M&A Of ROMACO Company

Nowadays,transnational M&A is a main way for a company to expand market,enlarge market share and achieve rapid growth.In order to make cross-border M&A more effective,enterprises should pay close attention to and guard against the risks,especially the financial risks that may lead to the failure of M&A.For domestic pharmaceutical equipment enterprises,transnational M&A can rapidly enhance their comprehensive strength,acquire core patents,R&D and innovation capabilities,management experience and marketing channels.However,due to the late development of cross-border M&A and lack of effective M&A experience,the success rate of M&A is low.This is mainly because the relevant companies do not fully recognize their own financial risks and how to prevent.Therefore,it is particularly important to analyze the successful cases of cross-border M&A financial risk control measures.In this context,this paper first combs the relevant theories of financial risk of cross-border M&A,and then analyzes the financial risk control measures taken by Chutian Technology Co.,Ltd.,ROMACO of Chutian Technology Co.,Ltd.,based on the policy background,pharmaceutical equipment industry characteristics and financial market background.From the analysis,we can draw a conclusion that Chutian has identified the financial risk in the whole process of M&A comprehensively and correctly,adopted corresponding control methods,and carried out effective risk management.Based on this analysis,some suggestions are put forward to manage and control the possible financial risks in the later stage of Chutian’s cross-border M&A of ROMACO,and to improve the ability of identifying and avoiding financial risks.10 Figures,34 tables,73 references.