Research On The Causes And Effects Of Backdoor Listing By Television And Film Media Company

Since the Third Plenary Session of the 18 th CPC Central Committee,under the background of building a socialist core value system as the central goal,China has begun to intensify its cultural undertakings for the realization of a culturally strong country,and in the 13 th Five-Year Plan recently released,cultural construction become an important part of the "five in one" construction.With the continuous strengthening of reforms,the corresponding laws and regulations,policies and measures have also been clearly clarified,which has promoted the development of cultural industries and improved the exchange and cooperation between culture and capital markets.In 2014,a series of rules and regulations on the development of cultural industries were introduced,and a large number of cultural media companies realized their rapid development with the help of policy dividends.At present,the cultural industry is still in the initial stage of the growth cycle,with rapid development and high return on investment.The development of enterprises is inseparable from the support of capital.Traditional financing methods are most common in bank loans,but relying solely on loans does not support the rapid development of enterprises.The listing of companies is an effective way.However,the current China's IPO listing approval system has obvious shortcomings such as high threshold and long cycle,so a large number of film and television media companies have chosen to go backdoor in order to achieve rapid entry into the capital market.The revision of the “Measures for the Management of Major Asset Restructuring of Listed Companies” in 2016 has made the conditions for backdoor listing more stringent.As a small number of film and television media companies that have successfully listed after the introduction of the new regulations,H&R Century has certain reference significance for its success.The article's analysis of H&R Century's backdoor listing will provide more theoretical support for the backdoor listing of film and television media companies,and it will be able to enrich China's research on backdoor listing related literature,improve macroeconomic grasp and microcognition of the capital market,and also put forward a certain reference to our country's supervisory department for the supervision of mergers and acquisitions of listed companies.On the basis of M&A Collaboration Theory,Signaling Theory,and Principal-agent Theory,this article first presents a case study of H&R Century's backdoor listing,introducing the overview of shell resources and borrowers and the overall process of backdoor listing.Problems encountered during the backdoor listing process and the content of the backdoor solution was analyzed.The second is a case study of H&R Century backdoor Stellar Mega Union.In the case study,it analyzes the current financing models for the film and television media companies to achieve their own development.Under the background of cultural prosperity and development,the company prefers backdoor listing.After that,it describes and analyzes the backdoor listing status of film and television media companies.Then the article analyzes the motivation and effect of H&R Century backdoor listing.The motivating factors include the causes of the backdoor and the motives for selling shells,and the effect analysis includes the performance analysis and the descriptive analysis of the influence of the backdoor listing on the borrower and the backdoor.Through the case presentation and analysis of H&R Century backdoor listing,the article puts forward five suggestions for backdoor listing of film and television media companies.First,a reasonable choice of shell resources and borrowers.Second,reasonable company valuation and performance commitment.Third,avoid false reorganization.Fourth,improve company management mechanism.Fifth,improve business capabilities and innovative business models.Finally,the conclusions and limitations of this paper are given.Four conclusions are drawn through the analysis of the case.First,the reasons for backdoor listing include: the promotion of favorable policies;high IPO listing threshold and strict conditions;broadening the company's financing channels;and enhancing the company's brand influence.The main reason why shell companies sell shells is to turn a profit.Both the backdoor listing process and the backdoor have a good effect on both sides of the backdoor.Second,the process of H&R Century's backdoor listing has certain characteristics.Thirdly,H&R Century's backdoor listing is successful.The reasons for its success are reasonable shell resource selection,good profitability,and a sound business plan.Fourth,under the continuous improvement of the related backdoor system,backdoor listing is no longer all in order.It is necessary to rationally select shell resources and properly assess the company's value.H&R Century,as the leading film and television media company in the field of TV IP,it's backdoor listing experience has provided reference for other film and television media companies.The inadequacies of the article are that all the data needed for the case description analysis comes from the publicly listed annual reports and announcements of the listed company.There are certain limitations in the analysis and judgment.This article is a single case study and the case is difficult to represent the overall situation.The status of backdoor listing within the company may not be comprehensive enough.