Research On The Impact Of Spin-off Listing On YT Enterprise Value Creation

With the opening of the Science and Technology Innovation Edition in 2019 and the promulgation of the "Several Provisions on the Pilot Domestic Listing of Listed Companies’ Subsidiaries for Spin-off",as a way of asset restructuring,spin-off listing,as opposed to mergers and acquisitions,is deeply popular among all sectors of society.Due to the long time of theoretical research on split listing abroad,a complete system has been formed,while China is still in the development stage due to various factors such as imperfect policies.Due to the policy changes in 2019,spin-off listing has gradually become an important way of enterprise transformation.It is expected that more enterprises will choose to spin-off their subsidiaries in China in the future.In the past,the research on spin-off listing mainly focused on companies’ overseas spin-off listing.With the change of policies,the research on domestic spin-off listing is now particularly important.In this context,this article summarizes the process of corporate spin-offs through reviewing previous research on spin-offs at home and abroad,and analyzes how spin-offs affect corporate value creation by combining motivation theories such as financing strategy theory,business concentration theory,information asymmetry theory,and management incentive theory.This article takes YT companies that have been listed on the Science and Technology Innovation Board as the research object,and analyzes in detail the process,motivation,and value creation of their split listing.And analyze the value creation situation of YT enterprise from the perspective of market reaction and operational effectiveness.Through research,it is found that there are four main reasons for YT companies to choose a split listing: first,to improve their financing capacity;The second is to achieve professional business operations;The third is to motivate the management;The fourth is to realize value revaluation.After the spin-off and listing,the value effect of YT enterprises is significant,mainly achieved through two aspects: first,the market value is improved.Due to the fact that YT Enterprise holds undervalued high-quality assets in the parent company,the information asymmetry information has been reduced after the split and listing of YT Enterprise,resulting in a revaluation of the enterprise value.After calculation,the excess return rate of YT Enterprise during the window period is positive,and the cumulative excess return rate is also continuously increasing,indicating that the split and listing of YT Enterprise has been recognized by the market and the market value has significantly improved;The second is the improvement of enterprise value.This article uses entropy method combined with gray correlation degree to analyze the correlation degree between each indicator and the optimal sequence,and then combines the specific data of each indicator to analyze the changes in various financial indicators in the business process through both horizontal and vertical methods.The development of four financial capabilities has shifted to a good direction after the split and listing.This article draws the following inspiration: First,selecting businesses with broad prospects for development and undervalued value for spin-off listing is more conducive to achieving value creation;Secondly,before listing,it is necessary to select the appropriate time to list in the appropriate sector based on its own situation;Third,a split listing is not just a listing to complete the task,because it is a high-quality asset of the enterprise,and it also needs to focus on long-term development;Fourth,the regulatory layer should continue to improve the relevant system of split listing.