The Impact On China's Listed Companies Corporate Performance Because Of The Largest Shareholder's Change

The impact on China's listed companies corporate performancebecause of the largest shareholder's changeWestern countries, the company's M & A and business performance of a change in earlier studies, it has been developed to form a theoretical system is standard, and control over the market is already very mature. In a market economy, enterprises are content-type expansion of the expansion and extension-type expansion in two ways. Content-type expansion is the accumulation of profit on their own to achieve business expansion, extension-type expansion of the company through acquisitions or mergers of other ways to achieve. Of course the latter to expand business scale, Zheng-qiang enterprise's economic strength, to achieve the operational objectives of the enterprise is very rapid, is also rapidly expanding business the best way.Company control is the core issue of corporate governance, the target company's Kong Zhi Quan Yi Dan metastasis, its corporate governance structure will undergo major changes, right company to produce Zhong Yao Jing Ying Ye performance of. With the continuous advance of economic globalization, mergers and acquisitions boom is sweeping the world. Since the early days of China practiced a planned economy, the company's majority stake in all of them by the state until the country from a planned economy to a market economy, China's capital market gradually developed, and with the property right reform, China has appeared in M & A activity between enterprises. Although the merger between our company events later than the West, but since the "treasure delay" after the incident, China's listed companies control over the transfer to happen frequently, when a change of control of enterprises, companies The management structure will change accordingly.For example, when changes in the company's largest shareholder, the company's controlling shareholder of the shares will change the nature, ownership ratio will change in board structure will be changed, those changes will affect business performance. Domestic and foreign scholars or research in this area more, and some studies show that the transfer of control of the company occurs, if the shares of the acquirer and the acquirer is a company shareholder is also expected to restructure the company when the acquisition was acquired will significantly increase the company's stock price, but if the purchaser of government agencies, the target company stock price will drop (Grzegorz,2003); enterprises madeHealth merger and reorganization will improve enterprise performance, the transfer of control occurred in previous years a considerable increase business performance and the changes are positive (Modern Corporate Governance, Wulin Jiang,2001); some scholars place the performance of company mergers and acquisitions have to the opposite result, acquisition of the benefits to the acquirer is not obvious, or even bring negative returns (Bhagat et al,2001); acquired businesses and the excess negative abnormal returns (Zhang,2003). There are scholars of the impact from the factors considered, control is transferred changes in corporate performance, such as state-owned shares of listed companiesHow the proportion, the worse the performance of enterprises and vice versa, when the corporate sector share of the higher operational efficiency, the better (Xiaonian,1997), has a certain concentration, there are relatively controlling shareholders, and there Other large shareholders of the Stock Company, the largest of its performance tends to the conclusion (Posture, grading of 1999); board size change will impact on business performance, increase when the company's board of directors within the next few years, the company adjusted rate of return the market than ever before are improved. (Denis, Sarin,1997). In contrast, scholars from the control of metastasis of the factors affecting business performance has been studied or less and are not comprehensive enough.Therefore, the main research question is China's largest listed company's shareholders after the change occurs, corporate governance also from the nature of the controlling shareholder of the company board structure, ownership concentration, and corresponding changes in terms, of these changes on business performance The change will affect, and performance of different factors on changes in the company will have different effects. Using Accounting Research article, the return on assets and other variables used to represent the company's performance is interpreted as a variable to constitute a mechanism of corporate governance related variables as explanatory variables,The scale of the enterprise's assets and asset-liability ratio and corporate sales and other factors beyond control, using descriptive statistics, regression analysis and hypothesis testing research, chosen 2005,2006,2007 transfer by agreement in place the largest shareholder of the deep changes 39 cities in Shanghai A shares (without duplication) as a sample of listed companies, major research as the largest shareholder of listed companies changed, the corporate governance structure will change accordingly, for example, the changing nature of the company's equity, ownership concentration changes and changes in the company's board structure, these changes will impact on corporate performance, but different factors influence on firm performance is different.In this article, if the private equity acquirer is a listed company's largest shareholder, after a change in performance will be better to change; if the largest shareholder after the change before the change is the company's major shareholders, the performance of the business will change negative impact. The results show that the company's first shareholder listed on a change in以后on firm performance are the main factors affecting changes before acquisition by the largest shareholder of the private and the Public Company shareholders prior to the change. Through analysis we have come, after the change ratio of the largest shareholding and corporate performance two years after the change is in direct proportion to change the amount of change,But by the third year of this relationship is not significant, so that the largest shareholder's ownership percentage changes in corporate performance is not affected most significant factor. He will serve as chairman and general manager of the enterprise to change the negative impact of the performance wraps, and changes in volume on firm performance is important, therefore, the largest shareholder after the change can be considered for appointment as general manager of the new term, so can improve the board's supervision, improve enterprise performance is also good. Largest shareholder of listed companies after a change in total number of directors to increaseEnhance the level of enterprises did not affect performance, not the business performance of the main factors affecting the variable; the proportion of independent directors of the impact of factors on corporate performance is not important, only when the largest shareholder of listed companies are seen after two years of change Dao De relationship of this positive correlation; listed company's first major Shareholder the changes before the enterprise after Ji Xiao Zong assets and enterprises Guimo significant negative correlation was from that point Women asset size is not difficult to arrive at the small enterprises more likely to become Shougou objects, the largest shareholder of listed companies after the change to improve business performance and asset-liability ratio level of significant positive correlation. The company's sales and performance improvement of the degree of negative correlation and significant. And the three aspects of corporate performance is also very important. By the largest shareholder of listed companies after the change of changes in corporate governance of these changes impact on firm performance, found that people who change factors on firm performance is positive, what those changes on firm performance is negative, thus warning managers of listed companies, a shift in corporate control situations, how to improve the corporate governance structure, improve business performance. The results also contribute to the development of theory of Listed Companies, M & A behavior specification which enables enterprises to healthy function. Supervision and management for our country to better regulate listed companies in China's largest shareholder views to change behavior and improve performance of company mergers and acquisitions.