Research On The Motivation And Performance Of Privatization Of China Concept Stocks

After domestic companies have listed overseas listings and hang overseas listings,since 2011,many Chinese companies have chosen to voluntarily delist the market.Some of them have chosen to return to the domestic market after delisting,such as Focus Media and Qihoo 360.Wait.It was announced in June 2015 that it had received a privatization offer and officially withdrew from Nasdaq in July 2016,which lasted 13 months.After 19 months of hard work,it was officially listed on the domestic A-share market on February 28,2018.Qihoo 360 decided to privatize the return of A shares for what purpose? After landing A shares,does it have a positive impact on the company? What lessons can the experience provide to companies that are not listed or listed overseas?Based on the theory of value revaluation,transaction cost theory and signal transmission theory,this paper takes Qihoo 360 privatization to return to A shares as the research object,studies the deep motivation and economic effects of Qihoo 360 privatization,and proposes the privatization of Chinese stocks.Related recommendations.By comparing and analyzing the performance of Qihoo 360 privatization before and after the return and the comparison method of the same industry,the paper analyzes the return of performance of the privatization of the stocks from the perspectives of the company's profitability,operational capability,solvency and business status.This paper first analyzes the profitability of the company after returning from the indicators of gross profit margin,main business profit margin,cost expense profit margin and return on net assets.Second,use various asset turnover rates to analyze operational capabilities.Thirdly,the solvency after the return is analyzed from the quick ratio,the asset-liability ratio and the equity ratio.Finally,based on the case of Qihoo 360 returning to the A-share market after taking the initiative to withdraw from the market overseas,it summarizes the impact of the privatization return on the Chinese stock company,and provides reference for the privatization of other Chinese companies listed overseas.The conclusions of this paper:(1)Qihoo 360 chooses privatization return for the purpose of reversing the undervalued value of the company,reducing financing pressure,adjusting business strategy,domestic policy dividends and saving transaction costs.(2)Qihoo 360 Private After the completion of the performance,the company's profitability and solvency are significantly enhanced,the core business is growing steadily and the strategic deployment of the company is improved.Therefore,this paper believes that the Chinese stock companies need to define their own development direction,weigh the costs and potential benefits in the process of privatization and return,and be vigilant about the relevant risks,paying attention to the domestic and international capital market policy environment.From the perspective of regulatory agencies,it is necessary to promote the construction and improvement of China's capital market system and improve the efficiency of resource allocation.