Research On The Risk Management Of Backdoor Listing

Enterprises must ensure a steady stream of capital inflows in order to obtain rapid and healthy development.Capital market provides an excellent channel of fund-raising for enterprises.Therefore,many enterprises hope to use the capital market to raise funds.However,direct listing need strict supervision and approval.Many enterprises failed to meet the standards of IPO.It is difficult to obtain the qualifications listed by way of IPO.Backdoor listing which can bypass the IPO review process to list provides a new way for the enterprises who can not meet the IPO standards.Therefore,many companies achieve the purpose of landing capital markets through backdoor listing.But the enterprises face many risks in the whole process of backdoor listing.Why many enterprise failed at last is because that they did not complete the job of risk analysis and control.Backdoor listing is a capital operation activities with high risk.How to prevent the risks of backdoor listing is the key to list successfully.It has become an urgent problem to be solved.This paper summarizes the concept of backdoor listing,the concept of backdoor listing risk and the theory about risk control using the way of theoretical analysis.This paper found the risks of backdoor listing through the case of Changjiang Securities,and then it proposed some effective advices to control risk.In this paper,there are four chapters on the risk control of backdoor listing.Firstly,according to the numerous relevant theoretical researches,the paper has made inter pretation for the concepts of backdoor listing and risk control.It provides the oretical basis for risk control.Secondly,this paper introduces the transaction process of Changjiang Securities' backdoor listing,and then it analyses the risks and approaches to control risk in the process of Changjiang Securities' backdoor listing.Thirdly,this paper analyses the effect of risk control of Changjiang Securities from the perspective of finance and non finance.Finally,it proposed five suggestions about risk control for ernterprise through the analysis of Changjiang Securities.This five suggestions contains selecting the shell resources that is suitable for the enterprise's development carefully,making full use of the shell resources' background of state owend,protecting the privacy of confidential information,employing experienced agency and doing a good job of capital budge.