A Case Study On Bankruptcy Reorganization Of Sainty Marin

The 19 th National Congress of the Communist Party of China clearly put forward the principle of survival of the fittest,support state-owned enterprises in structural adjustment and strategic reorganization,and promote the preservation and appreciation of state-owned assets.my country is currently in a period of tackling key problems in changing the development mode.Many traditional manufacturing industries are facing risks such as overcapacity and excessive leverage.The problem of "zombie enterprises" needs to be resolved urgently.The reorganization system introduced by the new "Enterprise Bankruptcy Law" can help bankrupt companies to revitalize their assets and avoid liquidation.Jiangsu Sainty Marin Co.,Ltd.implemented bankruptcy and reorganization procedures in 2016,which is the first case in my country where bankruptcy reorganization and asset reorganization procedures were simultaneously implemented,and it was also the first case in which the consultation mechanism was activated in a listed company reorganization case.The reorganization not only helped listed companies get out of financial difficulties and operational crises,but also injected high-quality assets into the listing and improved their sustained profitability and corporate governance.The paper uses the literature research method,reads and refers to the relevant literature and theories of bankruptcy reorganization;then uses the case study method to introduce and analyze the process and plan of the listed company bankruptcy reorganization in detail;finally,uses the financial analysis method and the event research method to analyze The performance of this reorganization.Taking Sainty Marin as the research object,this article conducts an in-depth analysis of its bankruptcy reorganization case: First,introduce the research background and significance of this article,briefly describe the research methods and ideas,and list relevant theories and literature.Second,on the basis of summarizing my country’s market conditions and institutional background,the time course of the bankruptcy and reorganization of Sainty Marin was sorted out,focusing on six aspects of its bankruptcy and reorganization plan.Third,in accordance with the thinking of "reorganization motivation-reorganization means-reorganization benefit impact-reorganization performance",it was found that Sainty Marin carried out bankruptcy reorganization due to business deterioration and avoiding liquidation.The cash and stock approach achieved 100% debt repayment.In the process,Sainty Marin used the linkage of judicial procedures and administrative means to reshape the business structure and governance structure with the help of market-oriented restructuring methods,so that listed companies were "resurrected from the dead" while optimizing financial performance and market performance.In order to maximize the interests of shareholders,creditors and restructuring parties.Fourth,provide countermeasures and suggestions for the bankruptcy and reorganization of state-owned enterprises in the context of supply-side structural reforms and in the post-epidemic period.Through the study of this case,it can be found that the use of market mechanisms for pricing and appointment can help state-owned enterprises to implement restructuring efficiently and objectively.In addition,high-quality reorganization helps bankrupt companies to get rid of financial crises and operational difficulties.Compared with bankruptcy and liquidation,bankruptcy reorganization can better improve the short-term performance of an enterprise and protect the interests of all stakeholders,but long-term performance needs to be maintained from various aspects such as improving operations,standardizing governance,and strengthening strategies.