Research On The Motives And Economic Consequences Of Major Asset Restructuring Of Orient Energy

With the increasingly fierce market competition,asset reorganization has become one of the important means for many enterprises to seek survival and development.Under the background of the in-depth implementation of the mixed ownership reform of state-owned enterprises and the enlargement of the function of state-owned capital,more and more state-owned enterprises push financial business to the capital market and carry out major asset reorganization.Based on the relevant theories of asset reorganization,this paper takes Orient Energy Co.,Ltd.as the research object,and uses case study,event study,factor analysis and other methods to find the motivation of its reorganization and evaluate its economic consequences.Firstly,it introduces the basic situation of Orient Energy,the general situation of both sides of the transaction and the reorganization plan of the major assets reorganization.On this basis,the motivation of Oriental Energy assets reorganization is analyzed from five aspects: the combination of industry and finance,financing demand,state-owned assets securitization,diversified development and internal fund operation efficiency.And from the three aspects of market reaction,financial performance and non-financial performance,using event study method and factor analysis method,the economic consequences of asset reorganization are studied.The stock excess return and cumulative excess return before and after the event were used to measure the market reaction.After the establishment of the performance index evaluation system,the factor analysis method was used to analyze the operating performance before and after the reorganization of Oriental Energy assets,and the factor score and comprehensive ranking were used to judge whether the operating performance was improved after the reorganization.At the same time,non-financial indicators are used to analyze the impact of restructuring on the development of enterprises from different perspectives.Through the research and analysis,the conclusion is drawn: in the short term,the major asset reorganization of Oriental Energy has a positive market response;in the long term,it improves the profitability and solvency of the enterprise,which is conducive to the long-term development;in addition,the reorganization helps to improve the educational level of the enterprise’s employees and the corporate governance ability,increase the investment in research and development and the integration of industry and finance.After analyzing the assets reorganization,it is found that the major assets reorganization should conform to the mainstream demand and choose the right time;The selection of the object and scheme of reorganization should be reasonable and fit with the development of the enterprise;After reorganization,more attention should be paid to the internal integration of enterprise resources.It is hoped that this discovery can provide reference for companies that need to carry out industrial overlay asset reorganization in the future,so as to promote the smooth progress of asset reorganization.