The Study About The Motivation And Performance Of The Real Estate Enterprises' Reverse Merger

Reverse merger is an important part of the outside of the IPO listing enterprises,is a special way of enterprise restructuring.Since entering the new century,with the rapid development of our country's economy and the strengthening of national policy efforts to foster,our country real estate industry has entered a rapid development period,become one of the pillar industry of our country economy.But the real estate enterprises is capital-intensive industry,without strong financial support,for many small and medium-sized real estate enterprises is very difficult to become bigger and stronger.But in our country,the country's control power to the real estate enterprise is bigger,real estate enterprises IPO is limited by many policies,reverse merger is a shortcut for many enterprises that need steady financing.These provided support to the research of this paper.This article is mainly used in case analysis and descriptive statistics of the two methods of real estate enterprises reverse merger analysis.By combining the special situation of real estate enterprises,this paper analyzes the general situation of the reverse merger of real estate enterprises from the time distribution of reverse merger,geographical distribution and backdoor mode.After the relevant data of the statistical study found that before 2011 is the real estate business reverse merger booming period,after 2011,by the impact of domestic and foreign environment,real estate companies reverse merger gradually into the downturn.China's real estate enterprises reverse merger occurred in China's economically developed provinces,the main reason for this situation is that these areas by the impact of the economic crisis is greater,the desire of enterprises to fight more strongly,so in a province to get reverse merger Case.From the reverse merger model,China's real estate business reverse merger is divided into share repurchase,private placement and equity replacement,in the actual situation is the combination of these three models.Based on the analysis of the overall situation of the reverse merger of the real estate enterprises,this paper chooses the CFLD merger Zhejiang ST Guoxiang as a case,and makes a detailed description of the motivations and profiles of China's reverse merger,and uses the factors Analysis.The study found that,due to the backdoor capital investment and follow-up resources integration,reverse merger on the short-term performance of enterprises to a certain extent,but in the medium and long term,it has a positive impact on CFLD.Based on the above analysis,this paper draws the following conclusions: real estate enterprises reverse merger should fully grasp the opportunity,choose their own model.When the real estate enterprises reverse merger achieve success,we should focus on the integration of assets and corporate financing capacity innovation.