Any enterprise needs an appropriate amount of capital to carry out production and operation activities, and the process of obtaining these funds through various ways and means is called financing. M&A financing can be divided into internal financing and external financing according to the source of funds. However, the more widely used financing method is to open up the source of funds from the outside, through joint investment with other investors, or to raise funds in the form of equity, debt, mixed financing and so on. Generally speaking, the financing channels of enterprise mergers and acquisitions can be divided into debt financing, equity financing, and mixed financing. Debt financing refers to a financing method in which an enterprise obtains at an agreed consideration and purpose and is required to repay principal and interest on a regular basis. Debt financing is often through banks, non-bank financial institutions, private capital and other channels, the use of application for loans, bond issuance, the use of commercial credit, leasing and other ways to raise funds, enterprise debt financing mainly includes three ways: loan financing, bond financing, lease financing. Equity financing refers to the enterprise through the direct absorption of investment or the issuance of shares or the use of equity capital financing to raise funds. Equity capital is the funds invested in the enterprise by investors. The most commonly used equity financing methods in M&A include absorbing direct investment, equity capital financing, and issuing stock financing. Mixed financing M&A refers to mergers and acquisitions in which enterprises raise funds by issuing mixed financing instruments. Common hybrid financing tools are mainly convertible bonds and warrants.