Performance Analysis Of WISCO Group's Market-based Debt-to-equity Conversion

Debt-to-equity swap is an important way of corporate debt restructuring.By converting creditor's rights into equity,it reduces the repayment pressure of enterprises and wins time for the company to re-develop.Compared with the policy-based debt-to-equity swap,the market-oriented debt-to-equity swap is through the independent negotiation between the creditor and the debtor,and through the market-oriented way,the debt-to-equity swap of the enterprise makes the debt-to-equity swap effect reach the optimal level.After analyzing the WISCO Group's debt-to-equity,the paper analyzes the financial performance and non-financial performance of the company and concludes that under the effect of market-based debt-to-equity swap,the WISCO Group's indicators are all good.The improvement,the pressure on repayment,the improvement of profitability,operational capability and growth ability have been improved.The risk of enterprises has declined but there are also imperfections such as unreasonable debt maturity structure,but the overall level is still below the industry level,although In the short term,it won time and space for WISCO Group,but there are still many aspects that cannot be changed by debt-to-equity swaps.It is necessary for WISCO Group to actively carry out in-depth reforms in order to achieve the long-term development of the company.Based on the analysis of the market-oriented debt-to-equity swap of WISCO Group,this paper proposes to optimize the debt-to-equity swap method and give full play to the maximum utility of debt-to-equity swap: to enhance the company's own strength;to develop innovative debt-to-equity swaps such as debt-to-equity swaps;Improve the debt-to-equity swap mechanism and improve the multi-level capital market to ensure the smooth exit of the equity exit channel.