A Study On Motivations And Paths Of Backing To Domestic Stock Markets For Chinese Concept Stocks

Based on the background of the upsurge in the privatization of enterprises in recent years,many enterprises have sought to return to the domestic stock market.The paper starts from the definition of privatization and expounds the related concepts.Combining the theory of privatization of domestic and foreign mainstream listed companies,Privatization and return to the domestic market,introducing and studying the largest market value of the scale of the case-Focus Media.The paper based on the "Focus Media" cross-country transfer case,through the study and analysis of the complete process of "Focus Media" overseas delisting and re-listed in the territory,including its privatization program,equity structure adjustment,VIE structure demolition and backdoor.The process of listing shows that the motivations behind the privatization including the fact that the stock price is seriously underestimated comparing with the high valuation of the A-share market,the organization is short and the regulatory action,the maintenance cost of the listed enterprise is reduced,and the strategic transformation and favorable national policy and law.After analyzing the motivations of "Focus Media",the paper summarizes the path combination based on the current stock return to the domestic stock market through the analysis of the merits,potential risks and the final results performance in the "Focus Media" case,including the IPO mode "Return to A-share market",backdoor listing "return to A-share market,landing the new three-board market," A to A "model and" spin-off "path.Through the analysis and comparison of the above paths,the advantages and disadvantages of each path and the suggestions given to the enterprises are given,in order to provide enlightenment and suggestions to other participating companies in the domestic stock market and other participants in the domestic capital market.