What are the general acquisition methods of a company?

1. Cash acquisition. A cash acquisition is a simple purchase in which the company pays a certain amount of cash to take ownership of the target company. There are two main ways to buy an asset for cash: for cash and for cash**.

2. Acquisition with **. Acquisition means that the company does not use cash as a medium to complete the acquisition of the target company, but the acquirer replaces the target company with a new issue.

3. Undertake debt-based acquisitions. In the event that the acquired enterprise is insolvent or its assets and liabilities are equal, the acquirer acquires the assets and management rights of the acquired party on the condition that it bears all or part of the debts of the acquired party.

The official website shall prevail.

Corporate acquisitions are an effective means of redistributing resources and are the fastest and most effective way for businesses to expand. During the corporate acquisition process, the most important question that the buyer will face when identifying the target company is which acquisition method to adopt. The determination of the acquisition method may directly affect the decision of the next link, such as the payment method, financing channels, and even directly related to the success or failure of the acquisition.

A corporate acquisition involves the acquisition of control over the company's assets either directly (absolute ownership) or indirectly by acquiring equity. The Company's acquisition methods include the following.

There are three types of capital contributions. First, a cash acquisition is when the acquiring company pays a certain amount of cash to gain ownership of the target company. Its main advantage is that, as a simple and fast acquisition method, it does not have to bear the impact of ** risk, changes in interest rates and inflation for the target company, and the delivery method is simple and straightforward, which is usually the most acceptable way for the target company.

The disadvantage is that shareholders of the target company cannot delay the recognition of capital gains, so they cannot enjoy tax benefits and cannot have a shareholders' interest in the new company. For buyers, cash acquisitions are a heavy direct cash burden, which requires the buyer to have sufficient positions and financing capabilities, and the size of the deal is often limited by the ability to acquire cash.

Secondly, the acquisition refers to the acquisition company increasing the issuance of the company's ** and replacing the target company's ** with a new one. Its main advantage is that it does not require a large amount of cash to be paid for the purchaser, so it does not affect the cash position of the acquiring company. For the shareholders of the target company, they can postpone the time of income, achieve reasonable tax avoidance or tax reduction, and share in the benefits of the value-added acquisition company.

However, its drawbacks are also obvious. For the purchaser, the newly issued shares change the original ownership structure, dilute the interests of the original shareholders, and the earnings per share may change adversely, and may even cause the original shareholders to lose control of the company; The offering is subject to the supervision of the Exchange Commission and the Exchange's Listing Rules. Restrictions and cumbersome issuance procedures give competitors time to organize bids, while target companies that do not want to be acquired have time to deploy anti-takeover measures.

Finally, a full-fledged acquisition means that the acquiring company's investments include not only cash and warrants, convertible bonds, and corporate bonds. In this way, various payment methods can be combined. If matched correctly, the drawbacks of both approaches can be avoided, i.e., the purchaser can avoid paying more cash and prevent equity dilution and the transfer of control of the original shareholders of the acquiring business；At the same time, the tax credit effect of interest on bond financing can be used to avoid excessive financial risk.

Although the adoption of a full-blown takeover will complicate the process of the takeover transaction, it will also increase the difficulty of risk arbitrage. As a result, this access method is also showing a trend of increasing year by year.

In general, there are eight ways to acquire a company. 1. Purchase of business and purchase of business property. 2. Purchase shares.

3. Buy part of the shares plus options. 4. Purchase bonds with rights. 5. Profit sharing.

6. Capital financial leasing. 7. Debt-bearing mode. 8. Debt-to-equity swap model.

Of course, it can also be through the 'agreement acquisition', the acquirer can acquire the company through the agreement acquisition, the tender offer or the centralized bidding transaction of the ** exchange, to obtain the actual control of a listed company.

In general, there are three ways to acquire, the first is the cash acquisition method, the purchase of the company so that the company is the first to control the company. The second type of **acquisition, the issuance of new **quantity, to replace the old**. The third is a comprehensive acquisition, including aspects such as cash and cash.

Acquisition refers to the purchase of the equity, ** or assets of another enterprise by an enterprise for cash or at a price**, in order to obtain ownership of all the assets or assets of the enterprise, or control of the enterprise.

The common acquisition methods for corporate acquisitions mainly include equity acquisitions and asset acquisitions.

1) Acquisition of assets. Acquisition of assets refers to the management buyout of most or all of the assets of the target company. Achieve ownership, management buyout, and control of business operations in the target company.

The operation method of acquiring assets is applicable to the acquisition target of listed companies, subsidiaries or branches separated from large groups, public departments or companies.

b) Acquisition**. Takeover** refers to the direct purchase by management of a controlling interest or all of the target company's shareholders**.

If the target company has a small number of shareholders or is a subsidiary of the company, the negotiation process for the purchase of the target company is relatively simple, and the merger and acquisition negotiations can be conducted directly with the major shareholders of the target company to negotiate the terms of the sale.

Legal basis] Article 71 of the Company Law, shareholders of a limited liability company may transfer all or part of their equity to each other.

The transfer of equity by a shareholder to a person other than the shareholder shall be subject to the consent of more than half of the other shareholders. Shareholders shall notify other shareholders in writing to solicit consent for their equity transfer, and if other shareholders do not reply within 30 days from the date of receipt of the written notice, they shall be deemed to have agreed to the transfer.

If more than half of the other shareholders do not agree to the transfer, the shareholders who do not agree shall purchase the transferred equity; If you do not purchase it, you will be deemed to have agreed to the transfer.

For the equity transferred with the consent of the shareholders, under the same conditions, other shareholders have the right of first refusal.

If two or more shareholders claim to exercise the right of first refusal, they shall negotiate to determine their respective purchase ratios; If the negotiation fails, the right of first refusal shall be exercised in accordance with the proportion of their respective capital contributions at the time of transfer.

Where the articles of association of the company have other provisions on the transfer of equity, such provisions shall prevail.

1) Public offer.

It refers to the offeror's offer to all shareholders of the company at a price higher than the current market price of a company, which can be the original shareholders of the company or other corporate legal persons (natural persons). In a public offer, a public offer is a crucial factor, and the acquiring company said that after its formal public tender offer, it can only use the offer as a purchase of the offer, and may not purchase any other offer in the open market or through private negotiation during the validity period of the offer. Therefore, confidentiality before the publication of the offer is also of paramount importance.

2) Leveraged buyouts.

Also known as financing acquisition, it refers to the acquisition method of purchasing the company's equity from shareholders through a large amount of debt of the target company, and the so-called leverage refers to the financial assets obtained by the company by borrowing capital or issuing preferred shares. Since creditors do not require participation in future operating profits, but only fixed interest and principal repayment, and the company's payment of debt interest does not need to be included in the company's taxable income, those acquirers who intend to make a profit by buying and selling the company's equity are naturally willing to choose financing methods with high debt in order to achieve the so-called leverage effect. It is essentially a speculative activity, which is not only a transfer of equity, but also will have a huge impact on the capital structure of the target company, so that the target company will change from a low debt ratio company to a high debt ratio company, and the company's credit rating will also be rapidly reduced.

3) Acquisition by agreement.

It refers to the act of reaching an agreement with the shareholders of the target company on the number of shares to be transferred, etc., so as to achieve the purpose of controlling the target company. This form is applicable to the acquisition of state shares and corporate shares, and is a unique acquisition method under the condition that China's capital market is not yet mature. Its advantage lies in the fact that for the secondary market with limited affordability, the impact and impact of the agreement acquisition is small, but its disadvantages are also obvious, because there are great limitations in information disclosure, equal opportunities, fair transactions, etc., which is not conducive to the supervision of relevant state departments and the protection of the interests of small and medium-sized investors.

To sum up, there are three main ways for companies to acquire, namely public acquisitions, leveraged buyouts and negotiated buyouts. Regardless of the acquisition method, the acquisition process is not so simple, and in order to successfully acquire another company, in addition to a perfect acquisition plan, it is also necessary to have the consent of the majority of the top management of the acquiring company.

The acquisition methods of the company include the following: 1. Cash acquisition: It refers to the acquisition company paying a certain amount of cash to obtain the ownership of the target company.

2. **Acquisition: It refers to the acquisition company to increase the issuance of the company's ** and replace the target company's ** with a new one. 3. Acquisition:

A comprehensive acquisition means that the investment of the acquiring company includes not only cash and, but also warrants, convertible debentures and corporate debentures. According to Article 142 of the Company Law, if a listed company acquires the company's shares, it shall fulfill its information disclosure obligations in accordance with the provisions of the ** Law of the People's Republic of China.

The company's acquisition methods include cash acquisition, equity acquisition and ** acquisition. The acquisition of a company shall be announced, and the creditor's rights and debts of the acquired company shall be borne by the acquiring company. According to the relevant laws and regulations, the company shall not accept the company's ** as the subject of the pledge.

Legal basis] Article 142 of the Company Law.

If a listed company acquires the company's shares, it shall fulfill its information disclosure obligations in accordance with the provisions of the ** Law of the People's Republic of China.

One hundred and forty-two.

The Company shall not acquire the shares of the Company. However, this does not apply in any of the following circumstances:

1) Reduce the registered capital of the company;

2) Merger with other companies holding shares of the Company;

3) Use the shares for employee stock ownership plans or equity incentives.

If a listed company acquires the company's shares, it shall fulfill its information disclosure obligations in accordance with the provisions of the ** Law of the People's Republic of China. If a listed company acquires the shares of the Company due to the circumstances specified in Item (3), Item (5) and Item (6) of the first paragraph of this Article, it shall do so through an open centralized transaction.

The company shall not accept the company's ** as the subject of the pledge.