Research On Enterprise Value Under The Reduction Of Major Shareholders

Since the split share structure reform,China's capital market has developed rapidly and has achieved many brilliant achievements,but it has also exposed many problems,and the reduction of major shareholder is one of the key points.In 2005,the China Securities Regulatory Commission promulgated the "Notice on Issues Related to the Pilot Reform of the Share Separation Reform of Listed Companies." After that,the shareholder's reduction behavior was increasingly exposed to the public's attention.With the promulgation of other series of reduction policies of the China Securities Regulatory Commission,major shareholders took the opportunity to sell the ban stocks on a large scale,which brought great pressure on capital market confidence and the company's stock price,resulting in more and more problems for major shareholders to reduce their holdings.The concern,therefore,the impact of major shareholder reduction on corporate value has become a problem worth studying.At present,domestic and foreign scholars mainly rely on empirical research on the reduction of major shareholders,mainly focusing on corporate governance and reduction of motivation.Case studies are relatively rare.The article will try to use case study methods to analyze the reduction of major shareholders.Corporate value provides new ideas for studying the impact of major shareholder reductions on corporate value.The article first summarizes the literature on the reduction of shareholdings of major shareholders and the value of enterprises,defines the concept of reduction of shareholdings and shareholdings of major shareholders and major shareholders,and proposes the role of EVA momentum analysis on the impact of major shareholder reduction on corporate value.And the theory of enterprise value growth stage based on EVA momentum.Secondly,starting from the case enterprise,based on the idea of large shareholder reduction ? equity concentration ? business performance(operational efficiency,profit efficiency)? EVA momentum measurement of enterprise value,this paper discusses the change of equity concentration after the majority share of X enterprise shareholders As a result,the business performance of the company,that is,the operational efficiency and profitability,has changed,which has finally led to changes in the value of the company.Finally,based on the theory of enterprise growth stage of EVA momentum,this paper analyzes the changes of the growth stage of the company after the reduction of the majority shareholder,and the consistency of the enterprise value and the growth of the company.Through the above theory and analysis,it is concluded that the change of ownership concentration after the major shareholder reduces the holdings leads to the failure of the equity balance of the X company,and the constraints on the management of the investor also change,resulting in the lowering of the operational efficiency and profit efficiency of the enterprise,ultimately leading to Corporate value has fallen.It was also found that after the major shareholder reduced its holdings,the growth stage of the enterprise changed from a strategic contraction phase to a self-destructive growth phase,which affected the sustainable development of the enterprise.