The Cost-benefit Analysis Based On Mode Selection Of Backdoor Listing

Real estate enterprises urgently need a lot of money to buy the land use rights and the development of real estate projects, the funding gap in China’s real estate market in2012was1.3trillion, the need to improve the size of a quarter of the real estate industry sales can compensate for these gaps. And our government often played skillfully on the real estate industry tax policy, monetary policy,"combined", increase credit crunch, the real estate business capital chain to withstand a serious challenge. Many real estate companies have turned to the stock market, the equity financing needed funds for real estate enterprises, really is a gluttonous feast. By common sense, public financing is the perfect combination of business and real estate funds, is a shortcut rapid development of the real estate business. However, China’s securities regulator for the real estate companies have been listed on strict access system, making the IPO road financing the real estate business has never been smooth. Face financing difficulties, the real estate business another way to choose the way of financing a backdoor listing.Backdoor listing through the acquisition of a controlling equity interest in the Target Company, to obtain qualifications listed objectives, their own quality assets into a target company mergers and acquisitions. From2008to2012, in China’s A-share market, a total of22real estate enterprises backdoor listing, during this period, the number of Chinese real estate enterprises backdoor listing is much higher than the number of IPO. Backdoor listing real estate enterprise is broaden financing path, effective channels for listing qualifications refinancing. So, how real estate enterprises using the shell model can achieve earnings larger cost smaller? Whether all of the real estate enterprises for backdoor listings?Based on backdoor listings and other related theory as a guide, using the method of research and comparative analysis, discusses the real estate enterprises backdoor listing the cost benefit of different mode. Firstly, analysis of some real estate enterprises to select the backdoor listing, mainly real estate companies own national policies and the quality of the two factors, and the analysis of the real estate business brought backdoor listing financing opportunities. Secondly, the paper introduced a cost-benefit model of real estate enterprises backdoor listing, select the six acts occurred and successful backdoor listing of the real estate business as a sample, the sample of six real estate companies into three groups according to the mode of backdoor listing. Six shell company listed on the announcement to collate and collect sample data, calculated by the model and compared three groups of real estate enterprises backdoor listing costs and benefits in different modes.The contribution of this paper is as follows:First, through to2008,2010,2013the comprehensive strength of the top10real estate companies listed way, indicating the quality of the real estate enterprise will affect the listed real estate enterprise to the choice of the path. After analysis, it is concluded that quality strength of real estate enterprises prefer IPO and low quality of real estate enterprises to choose backdoor listings.Second, this paper established a simple cost-benefit calculation model of backdoor listing, found that real estate enterprises in the backdoor listings using"replacement of assets+consolidation by merger"way improve backdoor sharpest returns, using"significant asset sales+consolidation by mergef’backdoor earnings minimum returns.Lack of this paper is as follows:First, due to the database without complete data statistics of real estate enterprises backdoor listings, there may be imperfections.Second, in the study sample, because in front of the backdoor listing real estate enterprise’s financial statements are not fully open, financial data analysis of the real estate enterprise is limited.