A Case Study On Mining Involved Restructuring Of Science City Development Public Co. Ltd

The concept of Assets Reorganization in China is described as not only Mergers and Acquisitions, but also Debt&Equity Restructuring, Corporate Restructuring, and so on. As an important method to realize resources optimization, the assets reorganization of listed companies is one of the most effective way of scale expansion, business transformation and capital operation. And as a kind of special type of asset reorganization, Mining Involved Restructuring is a hot spot of concern in capital market. But due to the short history of mining involved restructuring phenomenon, the research on this field is not much.The assets reorganization of Science City Development Public Co. Ltd.(aka. Secince city) is a typical case of mining involved restructuring, and after restructuring, Science city became a mineral resources development company. In order to provide references for investors. This paper researched on the case of Sciecnce city mining involved restructuring, did some deep analysis on the background, motivations, methods, processes, and successes and shortcomings of this case. Then got some experimental results about China’s mining involved restructuring phenomenon. The basic structure of this paper is as follows:The first chapter discussed the background of the topic selection, the purpose of this paper, some basic theories about the assets reorganization in our country, and briefly put forward the thinking structure of the paper; The second chapter is part of case study. To analysis the restructuring plan design and implementation process through the announcement of listed companies and related information; The third chapter is a comprehensive evaluation of Science city mining involved restructuring. From the analysis of the strategic significance of Science city, the financial value, the influence on the secondary market, and the problems during restructuring process; The fourth chapter, is a promotion from one case to the a common phenomenon. This part emphasises on the analysis of the motivations, characteristics and risks of the mining involved restructuring. And then gives some advices to investors on how to invest this kind of stocks; And the fifth chapter summarizes the full text at last.Based on the study of Science city’s case and some other literatures, we got the following conclusions and recommendations:Firstly, this reorganization is a Successful strategy for both Science city and its controlling shareholder. It is helpful to improve the financial structure and profitability of the firm. And at the same time, this reorganization got the identification of investors in stock market. Secendly, investors should have the consciousness to alert the risks of those companies who have the plans to involve minning restructuring. Investor should also try to avoid impulse investment by analysising the companies.Although the paper is modified by several times, two inadequacies still need to be revised. The first is because of the analysis data, the case studied in this paper happened in2012, I can’t get enough business data after the reorganization. The second inadequacy is lack of the quantitative analysis and the empirical analysis. And this two parts are the future research directions in the paper.