1. Investigate the reputation and financial status of the acquired company;
2. Negotiate the acquisition;
3. Sign an acquisition agreement;
4. Prepare balance sheet and property list;
5. Notify creditors and make an announcement in the newspaper;
6. Handle the corresponding change registration and cancellation registration of the acquired company.
Matters needing attention in the company's acquisition are:
1. Understand the assets, creditor's rights and debts of the acquired company;
2. Take legal measures to acquire the company;
3. After the acquisition is completed, the shares of the acquired listed company held by the purchaser shall not be transferred within 18 months;
4. After the acquisition is completed, the purchaser shall report the acquisition to the the State Council Securities Regulatory Authority and the stock exchange within fifteen days and make an announcement;
5. Other precautions.
The main advantage of acquiring companies is that they may increase the wealth of enterprises, because mergers and acquisitions help to integrate enterprise resources, reduce transaction costs to a certain extent, improve market competitiveness, and thus enhance the value of enterprises in the market. The disadvantages of acquiring companies are mainly the existence of various hidden risks and M&A costs, such as the hidden financial, debt, financing, legal and anti-takeover risks of the other party.