The Financial Performance Study Of Backdoor Listing On 360 Safety Technology Co.LTD

In recent years,Chinese stocks listed in the US have been frequently investigated by the SEC.In addition,due to the differences in valuation,the gradual improvement of domestic laws.etc,a growing number of Chinese companies are planning to return to China.360 safety technology co.LTD.(referred to as 360)conducted a backdoor listing in 2017,As the largest company among Chinese concept stocks returning to A-share market,the success of it has certain representativeness.why would Chinese concept stocks return to A-shares through backdoor listing instead of IPO? What impact will this behavior have on the financial performance of enterprises? Therefore,the analysis of the financial performance of backdoor listing has practical guiding significance for improving the business performance of listed companies.This paper takes 360 as the research object.Combined with the relevant research literature,it elaborated the backdoor listing process of 360 to assist it's financial performance.From this paper,Financial performance research mainly from two aspects.The short-term performance analysis adopts event study method and cost-benefit analysis,which mainly evaluates the company stock price to the event response and the backdoor listing process produces the cost and income;The long-term performance evaluation based on financial data from 2014 to 2018 to start vertical comparisons in four areas: operating capability,debt paying capability,profitability and development capability.then it utilizes the driving factors of the DuPont analysis to appraise comprehensive influences.Finally,We propose corresponding countermeasures and suggestions for further improving the financial performance of 360,and finally draw the conclusions and prospects of this paper.From this paper,360 has prepared enough work in the process of returning to A-shares,including privatization delisting,removing VIE structure,equity structure adjustment and other works.At the same time,the short-term financial performance has been significantly improved,shareholders have gained value from their wealth and their long-term financial performance has improved.After the listing,it also raised a large amount of funds,which was relieved from privatization and the business performance showed positive changes.This article hopes to provide a certain reference value for a similar enterprise backdoor listing or IPO return to A shares,and enrichs the relevant financial performance research materials of the listed stocks.