Research On The Motivation And Performance Of CRCC’s Carve-out

With the improvement of the market supervision system and the development of the capital market,the market environment for carve-out has gradually matured.Greater breakthroughs have been made in important areas.The SASAC actively calls on listed companies to carve out high-quality sectors with strong growth potential for independent operations,and encourages companies to list on the Science and Technology Innovation Board.In 2019,the "Regulations on Domestic Carve-out" were released,which lowered the threshold for domestic listings for carve-outs,which provided new opportunities for capital expansion of many large-scale and diverse enterprises,and also pointed out the way for state-owned enterprises to deepen mixed-ownership reform.This paper selects the case of CRCC’s carve-out of CRCHI.As the first pilot company to announce the carve-out plan and the mixed reform of state-owned enterprises,it can provide us with a reference for analyzing the role of carve-out and deepening the mixed reform of stateowned enterprises.This paper focuses on the analysis of the motivation and performance of CRCC’s spin-off and listing.The reasons for CRCC’s carve-out include: reducing information asymmetry,revaluing the value of CRCHI;increasing business concentration and strengthening CRCC’s core business and clarify the development ideas of CRCC;improve the use of corporate funds of the parent company and broaden the financing structure of subsidiaries;improve the management incentive mechanism;Listing deepens the mixed reform of state-owned enterprises.After the carve-out,the overall market value of the group has been increased,the market value of CRCC has been discovered,and the financing channels have been broadened,profitability and solvency have been enhanced,and growth has also improved.The carve-out of the subsidiary has brought great pressure on the market value of CRCC.In the short term,CRCC has not achieved excess returns,and its solvency and profitability have remained stable.With the improvement of the capital market environment and the gradual maturity of the regulatory framework,enterprises with diversified operations can increase the overall value of the group company and enhance the degree of professional operation through carve-out;state-owned enterprises that need spin-off can actively try to serve other enterprises.Make an example.Carve-out enterprises should do a good job in risk management in the whole stage of listing,and fully consider the needs of enterprise development and long-term planning;it is necessary to clarify the business relationship between parent and subsidiary companies,and pay attention to the balanced development of parent and subsidiary companies.