Merger and acquisition (M&A)
The essence of M&A is the transfer of enterprise ownership control. That is, an enterprise obtains the assets, equity management right or control right of another enterprise, so that one enterprise has a dominant influence on another enterprise directly or indirectly.
Mergers and acquisitions generally include mergers and acquisitions.
forcibly occupy
Also known as absorption merger, that is, two different things merge into one acquisition for some reason, which means that an enterprise buys shares or assets of another enterprise with cash or securities in order to obtain the ownership or control of all or one asset of the enterprise.
The purpose of mergers and acquisitions:
1, low-cost expansion of capital
2. Integration of business and assets
3. Open up new markets and expand market share.
4. Expand the production scale and reduce the cost.
5. Obtain monopoly profits or relative monopoly profits.
6. Obtain capital gains and reflect enterprise value.
The process of merger and acquisition:
Preparation stage, implementation stage and integration stage.
First, the preparation stage.
1, the formation of M&A team generally includes internal personnel and external professional teams (accountants, investment consultants, etc.). ).
2. Due diligence on the target company
Second, the implementation stage.
1.M&A negotiation: including M&A price, payment method, tax payment period and personnel arrangement.
2. Sign a merger and acquisition contract
Third, M&A integration stage.
1, financial integration
2. Integration of human resources
3. Asset integration
4, corporate culture integration