Empirical Study On The Total Performance Of Assets Stripping Of The Listed Companies

Assets stripping is a kind of corporate contracting strategy, which is widely used in adjusting industrial structure and optimize the allocation of internal resources. In the capital markets of the developed countries assets stripping is often employed in the process of reshuffle of the enterprises, most of the western scholars'studying about the effect of using the stripping found that its impacts on corporate financial performance were positive. Although the securities market of our country began late, the listed companies have executed assets stripping frequently recent years.As for whether the research conclusions of the western scholars fit our country or not and whether assets stripping can improve the performance of the listed companies or not, there is not a final verdict in the academic circle.This article will study on the performance of assets stripping of listed companies in China. The purpose of this article is to properly evaluate the performance of stripping, so as to provide directions on the effective implement of assets stripping.The performance of assets stripping on enterprises can be measured in two ways:one is the market performance of assets stripping, that is the impact on the company's stock price;the other is the financial performance of assets stripping, that is the impact on the company's operating performance. This paper makes a definition of conception of assets stripping and the range of study, that is narrow assets stripping, The paper takes the financial performance of stripping as research object, and analysed the result of the impact of stripping on the performance of corporation based on relevant theories.At first,this paper reviews and summarizes the correlative documents of the current internal and external situation, and analyzes the problems in the internal study, which provides reference for the study direction of this article. The second part of this article briefly states the current situation of assets stripping in our country, including the size and time aspect, and further to describe the legal proceedings and accountant arrangement method which need to be abided, on that basis shows data sources and the process of sample selection. This article will choose seven financial indexes from five sides, like debt paying ability, administrative capacity, profitability, growing capability and cash liquidity, to evaluate the change of performance before and after the listed companies using assets stripping.The third part of this article selecting 50 listed companies which stripped in 2007 as samples. In the first place we do descriptive statistics for every financial index, and use paired-samples t test to evaluate the change of each financial index before and after the stripping; then structuring the comprehensive score model of performance mainly by Factor Analysis,computing sample companies' performance score the year before and two years later,evaluating the variation of enterprise performance and the significance of it. The results of study indicate that in our country the stripping don't remarkably enhance the enterprise long-term performance.The last part of this article links the listed companies'real cases of assets stripping in our country, analyses the motive and open question of enterprises' stripping, and explore the connection between the performance and the motive. On that basis,this article raises some policy and proposals respectively with government regulatory bodies and listed companies, expecting to help the assets stripping to be applied and development in health.