An Empirical Research On IPO Performance Of High-tech Firms In SME Board

The eighteenth National Congress of the CPC puts forward the independentinnovation as the main force of economic growth, as the fundamental force to changethe mode of economic development. The Twelfth Five-Year Plan clearly put forwardhigher and updated requirements on the independent innovation. As the key of theindependent innovation,High-tech enterprises gradually become the focus of industry, itpromotes the sustainable development of social economy and strengthen the nationalcompetitive force. High-tech enterprises need investing large sums of money to carryout independent innovation, the start of Shenzhen SME board on May27,2004justprovides financing channels for high-tech enterprises, and promotes the rapiddevelopment of high-tech enterprises. However, it needs to research whether the IPOperformance of high-tech enterprises in SME board have increased as well as weexcpected..The paper takes the IPO performance of high-tech enterprises in SME board forstudy object, and uses literature research method to evaluate relevant literature at homeand abroad.On the basis of analyzing the current situation of China’s high-techenterprises in SME board,the paper selects31high-tech enterprises in SME board assamples, and chooses8indexes from four aspects of profitability, operating capacity,solvency and development ability, then makes an empirical study on IPO performancechange of high-tech enterprises in SME board.Firstly,This paper selects the median of8indexs to do the descriptive statistics.Secondly,use wilconxon ratio test to investigate the significance changes of thesample,then analysis the trend of the changes. finally, use the factor analysis to extractecommon factors from the8indexes, and calculate each factor scores and performancescore. The above analysis comes to the following conclusions: development ofhigh-tech enterprises in SME board is related to macroeconomic environment; after IPO,its profitability and operation ability showed a downward trend, solvency showed aupward trend,development ability did not change significantly,comprehensiveperformance decline. Based on the empirical results, The paper proposes to enhance IPO performance ofhigh-tech enterprises from the macro and micro aspects. From a macro point of view,the government should improve the environment of high-tech enterprises in SME boardand strengthen the construction of the IPO distribution system. From the microscopicpoint of view, companies should develop high-quality executives, use funds legitimately,and expand the production scale of enterprises through restructuring and mergers.