Research On The Factors That Influence The Success Of Restructuring Of China’s ST Listing Corporation

Corporate restructuring is a very common phenomenon in ST listing Corporation,because of the enormous delisting pressure they faced, they did have the desire to get out of the Financial Distress.It is very important to research whether ST listing Corporation restructuring are successful and what factors may have influence on ST listing Corporation restructuring. The research significance of this paper is that through the analysis of factors that may affect the success of the ST listing Corporation restructuring, to provide constructive suggestions for the restructuring of ST listing Corporation, to provide reference for government regulation, as well as for investors to invest in ST listing Corporation.In this paper, we adopt the method of combining normative research and empirical research. First of all, we introduce the related theories of the reorganization of the listing Corporation and the Z score model. Then the empirical analysis is carried out, and the regression analysis method of multiple linear regression model is built to analyze the factors that affect the success of ST listing Corporation restructuring. This paper selects 30 samples of ST listing Corporation restructuring events happened in 2007-2009 year, we choose the Z value in different periods of ST listing Corporation as the standard to measure the result of ST listing Corporation restructuring to research the influence of debt paying ability of the company before the restructuring, whether the government is involved in the restructuring, the type of reorganization, the way the restructuring party get the share,the change in senior executives and shareholders.After research, this paper concludes the main conclusions are as follows:(1) the most important factors that influence the success of the restructuring of the ST Listing company are the restructured company’s asset liability ratio before the reorganization, When the controlling shareholder changes, the proportion of the first largest shareholder after the reorganization.(2) With the increasing of the restructured company’s asset liability ratio before the reorganization and the proportion of the first largest shareholder after the reorganization, the controlling shareholder changed in the reorganization, the effect of reorganization is better. (3) Other factors that influence the success of the restructuring of China’s ST listing Corporation are the government participation, mode of payment, executive personnel changes after the reorganization and so on.