Research On The Motivation And Performance Of Z Enterprise Backdoor Listing

At present,with the rapid development of society and economy,although many enterprises are in a good development environment,the market competition is becoming increasingly fierce,forcing most enterprises to seize market share by raising funds.After the split share structure reform in 2006,under the influence of multiple factors such as market environment and government policies,Chinese enterprises have adopted the method of listing for financing.At present,there are two main ways for Chinese companies to go public:public offering(IPO)listing and backdoor listing.As far as IPO is concerned,its review time is long,the cost is high,and it has high requirements on the overall financial status of the company.The complexity of the review process also greatly restricts the development process of the company.However,compared with IPO listing,backdoor listing not only has a faster timeliness,but also can help companies expand financing channels,achieve listing qualifications,and break through bottlenecks in corporate development,thereby effectively improving corporate management.Therefore,many companies will choose the relatively indirect way of backdoor listing to enter the capital market.As one of the leading companies in the home furnishing retail industry,Enterprise Z actively seeks listing opportunities,and successfully listed a state-owned enterprise through backdoor listing in 2019,creating a new trend of backdoor listing of state-owned assets and becoming a typical example of successful backdoor listing.Therefore,it is very representative as the research object of this paper.First of all,this paper expounds the research background and significance,systematically sorts out the research trends at home and abroad,and introduces related concepts and theories,laying a theoretical foundation for the subsequent presentation.Secondly,this paper introduces the basic situation of Z Company and trading company,and sorts out the transaction process of its backdoor listing,so as to grasp the situation of its backdoor listing as a whole.Thirdly,this paper analyzes the motivation of Z Company’s backdoor listing.Then,using the event research method to analyze the capital market’s response to the backdoor listing event,it is concluded that "backdoor listing will increase shareholder wealth".At the same time,the traditional financial index method was used to compare and analyze the indicators before and after the backdoor listing of Z Company,and it was concluded that "backdoor listing has a positive effect on the performance change of Z Company,but the operational capacity needs to be improved".Combined with economic added value(EVA),the change trend of EVA indicators before and after backdoor listing is analyzed,and it is concluded that "backdoor listing improves the value capability of enterprises".In order to make up for the lack of research on financial indicators,this paper introduces the analysis of non-financial indicators,and studies the development strategy,technical ability and market share of Z Company respectively,and concludes that "backdoor listing will promote development strategy,improve technical ability and expand market share".Finally,this paper summarizes the successful experience of Z Company’s backdoor listing,and puts forward suggestions to improve its performance after backdoor listing in view of its shortcomings after backdoor listing.