The Analysis Of The Motivation And Performance In Chinese Concept Stocks' Privatization

Since 2010,the Storm Technology,Shanda network as the Representative of the China concept stock company set off a private delisting tide.Those enterprises which returned to the country,such as Focus Media,Storm Technology,Giant network,Tongjitang landed the domestic capital market successively.As the largest privatization transaction in the US stock market,July 14,2016,Qihoo 360 successfully completed the privatization plan,has aroused widespread concern at home and abroad.What prompted 360 to make such a major choice? The privatization has been achieved,whether it is conducive to the realization of 360 strategic objectives and performance improvement.As a representative of the privatization of stocks in 2016,what lessons did it offer to companies in the overseas capital markets and in the domestic capital market.This paper first summarizes the relevant literatures on the privatization and privatization of listed companies and the relevant literatures of performance research,and lays the theoretical foundation for the case analysis.Secondly,the whole process of the privatization of Qihoo 360 is studied by case analysis and comparative analysis,and the motivation of privatization of Qihoo 360 and the performance of privatization are analyzed.Finally,from the enterprise itself,the capital market environment and other aspects of response measures.The conclusion of this paper:(1)the motivation of Qihoo 360 privatization,including the company's underestimation,business strategy adjustment,the domestic capital market to attract,short harassment and VIE architecture disputes,etc.(2)after the completion of privatization of 360,the performance is mainly reflected in the company value enhanced,equity buyback generated revenue,the positive effect of privatization silvered,corporate governance transformed more clear and flexible.At the same time,there also existed some negative effects,the privatization program brought out a huge financial pressure for Qihoo 360 and the company will spend some time lining up to land domestic capital market in the future.(3)enterprise capital strategy and the capital market environment is becoming increasingly important to the development of enterprises,around the privatization of delisting,in order to improve the performance of private enterprises and improve the capital market environment,enterprises in the privatization process to prevent the risk of privatization,to explore the capital strategy for their own development,regulators should speed up the construction and reform of domestic capital markets to improve market efficiency and to optimize the allocation of resources.