The Value Of Listed Companies' Shell Resorurce In China:A Real Option Approach

Because of China's securities market and companies are in rapid development,the historic institutional arrangement of securities market and capital need reality of companies lead to strong listing demand for Chinese enterprises.Meanwhile,the large base and fast growing of SMEs,mean that the financing body converted,the time cost existed because of the limited capacity in stock market,the non-ethical companies in short term make the fully liberalization impossible.Thus,indirect backdoor listing become an alternative,our listed enterprise was qualified as economic resources,making the formation of the so-called "shell" and "shell deal." However,with the advance of comprehensive deepening reform,the stock market corresponded,since 2013,the government implemented many policies to lower the threshold of IPO while improve standards in backdoor listing.This will make shell resources less speculation,and transactions will become more rational.The shell resource prices will gradually return to a reasonable range.Therefore,how to properly asses the value of shell resources is particularly important.The purpose of this study is to estimate the shell resource correctly under the new environment,providing a reference for selecting IPO and backdoor listing,what' more,to provide reference for the implementation of relevant policies.In this paper,theoretical analysis and case study method are combining,by means of concept elaborated,methods comparison,we reached the final conclusion.This paper is divided into five parts: The first part is introduction,which describes the background and significance of the research.The second part is an overview of the theory,mainly discuss the theoretical basis and realistic foundation of shell resource formation.The third part is to choose the asset valuation method,pointing out the limitations of traditional methods,finally reach the application of real option method.The fourth part show a case study,the use of real options on an assessment of a shell company' value.The fifth part is the conclusion and prospect.There are two points of innovation in this paper: firstly,the introduction of real options assessment of shell resources,providing a reference to solve this problem;the second is the shell resource value assessment model,making a reference of corporation valuation using real option in china.