| Carve-out is an important means for the capital market to optimize resource allocation and deepen mergers and acquisitions.It will further focus on the company’s business,promote the improvement of business specialization,and serve technological innovation and high-quality economic development better.In the context of the deepening reform of the domestic A-share securities market,the Sci-Tech Innovation Board has become the first choice for listed companies due to its low listing threshold,valuation level and high liquidity.More and more Hong Kong listed companies are willing to carve out their high-quality assets for domestic A-share listing,including Wasion Holdings Ltd.First of all,it introduces the background and research significance of this case,uses the literature review method to summarize the existing domestic and foreign research results and conclusions related to carve-out,and proposes possible innovations.After understanding the situation and the specific process of carve-out,the motivation is further analyzed.Then,the event research method,comparative analysis method and financial index analysis method are used to analyze the impacts of carve-out on the both companies.Finally,it summarizes the conclusions in order to provide reference for companies that intend or plan to carve out to be listed on the SciTech Innovation Board.The conclusions are as follows: From the perspective of market performance,the parentsubsidiary after carve-out has been recognized by market investors in the short-term in different time periods.From the perspective of financial performance,the development of the industry in which the parent company is located is relatively mature,the development of the enterprise itself is stable,and the financial performance is basically at the middle level of the industry.However,the carve-out has not had a significant positive impact on the performance of the parent company,and the improvement of the parent company’s performance still needs to rely on its own strength.As far as subsidiaries are concerned,carve-out will help their profitability and solvency,but the improvement of overall operating ability in the short term is limited.From the perspective of nonfinancial performance,the carve-out will help improve the business concentration of the parentsubsidiary companies and further expand the market share.It improves the information disclosure of subsidiaries and regulates the internal governance of the company,but the effect of incentives on management is not obvious at this stage.Both companies attach great importance to technological innovation,and the carve out will help the them to obtain more funds and continue to increase investment in research and development.In general,the carve –out was successful,and it has a more significant impact on the subsidiary’s performance. |
