Research On Value Creation Of TBEA’s Spin-off Listing

The extensive asset restructuring model based on mergers and acquisitions is widely used in China.With the continuous development of diversified enterprises,this asset restructuring model brings uneven distribution of resources and hinders the development of emerging businesses.It is highlighted that the spin-off and listing is an effective way to mitigate this negative impact,and it has been sought after by separating the company’s other businesses into the capital market to bring value creation to the company.In recent years,although the spin-off and listing has achieved a certain degree of development in the country,there are still large differences compared with developed countries such as Europe and the United States.The pressure to solve the expansion of asset restructuring is urgent.China has a broad space for development.The domestic and foreign scholars’ research on spin-off listing value creation mainly starts from short-term market response and long-term business performance changes.The method adopted in the short-term market response is relatively stable and unified,but for long-term business performance research related research pays more attention to changes in relevant financial indicator data,or the research method used involves subjective factors.Therefore,on the basis of studying the value creation of spin-off listing through these two aspects,this paper adopts the gray correlation analysis method for value creation analysis in the research method of business performance.In order to find out whether the spin-off listing of TBEA brings value creation,in order to provide targeted suggestions for further enhancement of value creation,and to provide an effective reference basis for companies and regulatory agencies that have subsequent spin-off listing development plans.This article takes TBEA,which successfully carried out a spin-off listing in December 2015,as the research object.It studies the value creation performance of TBEA spin-off listing in terms of short-term market response and long-term business performance.The capital market responded better after the spin-off listing,especially when the spin-off listing proposals were passed.In terms of operating performance,enterprises will improve to a certain extent after the spinoff listing compared with before the spin-off listing,but they lack a sustained and good development trend.Therefore,in order to find problems,further analysis is carried out using relevant research methods.According to the information asymmetry theory and investment and financing strategy theory,the event research method is used to study the value creation situation of the TBEA spin-off listing in the short term,based on the spin-off listing.The stimulating effect of the event on the capital market may cause the company’s stock price to fluctuate and change,check whether there is abnormal income,further calculate the cumulative excess rate of return,and analyze the value creation status of the spin-off listing in the short term;According to the rebalancing strategy theory and the incentive consistent theory,the gray correlation analysis method is used to test the change of TBEA’s operating performance in the long term.First,determine the evaluation indicators of business performance,select the index data of TBEA from 2013 to 2018,and use the entropy method to objectively weight each index for evaluating business performance.Secondly,select five other comparative companies that have the same main business as TBEA and a better industry status,use the gray correlation analysis method to determine the reference sequence of each index from 2013 to 2018,and calculate the correlation between the sample sequence and the reference sequence Degree,and sorted according to the degree of relevance,to examine the response of the spin-off listing in the long-term operating performance,reveal the changes in the operating performance of the TBEA before and after the spin-off listing and its four capabilities,and analyze the research results to find the spin-off listing.The long-term value creation of listing.The analysis results show that: the spin-off listing of TBEA has achieved value creation,and the spin-off listing event has produced a positive response in the capital market.The response of the first event window is more positive.Although TBEA has achieved overall management.The performance has improved,but there are problems such as high idleness of current assets,unreasonable capital structure,low turnover of accounts receivable and poor growth of operating income.Based on the above analysis,this article puts forward targeted suggestions to improve asset utilization efficiency,improve capital structure,improve credit guarantee system and enhance product comprehensive competitiveness from the perspective of the problem,with a view to improving the value creation of enterprises,and according to this Companies and regulators made enlightenment and finally reached a conclusion.