Analysis On Motivation And Performance Analysis Of YTO Backdoor Listing

Backdoor listing means that a non-listed company invests the assets into a listed company and then gets a certain degree of control right in order to raise funds from the capital market,which is regarded as the status as a listed company to makethe parent company come into the market.The listed company is the shell company.China’s new share issuance system has been discussed for a long time.The “sponsoring system” adopted by the securities market stills belongs to the “approval system” in essence.Therefore,shortage of “shell” resources is caused by the special issuance system in our country,resulting in “shellspeculation”boom in China’s A-share market.The value of the “shell company” is reflected in the scarce listing qualifications as “shell resources”.Inrecent years,the CSRC’s(China Securities Regulatory Commission)is more and more strict with the access to the capital market,so the “listing qualification” is more and more precious.Coupled with long time and highcost of IPO queuingthatare also prohibitive for many companies,sothe “shell company” is more and more popular with many non-listed companies.With the development of the network and the improvement of people’s living standards,express industry as an important branch of the transportation industryhas gradually developed into an indispensable industry in people’s livesbecause of its nature of servicing life.Four Tongs and One Das(YTO,STO,ZTO,BEST,YUNDA)and SF developrapidly,becoming the industry’s first echelon.More cash flow and financial support are needed for the company’s development,so the listing is undoubtedly the best wayto raise more funds and broaden thefinancing channelsin a short time.These companies should considerlisting ways and listingtiming.Through the CSRC’sstrict approval,the company can come into the market,which takes a long time.Compared to the IPO,backdoor listing will be much shorter to reduce the time cost of backdoor listed companies.So,we can ask a few questions: 1.Why does the company choose this way to come into the market;2.What is the capital market’attitude and what is themarket’s reaction from the approval to the announcement issue;3.Can we rely on the annual report to analyze its financial performance and thus summarize the reasons for changes in the data.Aiming at the above problems,the industry benchmarking YTO is selected as an example,and we make an analysisfrom the perspective of YTO by the event research and DuPont analysis.By Du Pont analysis,the financial performance changes before and after the listing of the company are analyzed through the report data;by the event research method,we study market performance,compare the calculated the excess cumulative abnormal return rate(CAR)and market expected return rate,and then analyze the capital market response to the company backdoor listing and the reasons for the changes in financial performance.Finally,according to the case,we analyze reasons for itsperformance changescombined with the case backdoor listing motivation,in order to get the methods of performance measurement that are suitable for most enterprises’ backdoor listing and reach a conclusion.