The Case Study Of SAIC’s Overall Listing

The emergence of the overall listing is to solve the problems of the state-owned enterprises in the past.Through the overall listing,the enterprise can inject the core of high-quality assets into the listed company,not only can enhance the company’s management and profitability ability,but also can improve the level of corporate governance,so as to realize the enterprise value growth.With the gradual improvement of national policy and the strong demand of the reform of state-owned enterprises,since 2004,the TCL has been listed by the convertible IPO model in China firstly,the overall listing of enterprise groups is increasing in Chinese capital market.Therefore,it is necessary to conduct a comprehensive evaluation of the entire market,so as to understand the status of the overall listing of enterprise groups,while deepening the reform of state-owned enterprise,it also provides guidance for enterprises that plan to overall listing.This thesis analyzed the overall listing of SAIC by the form of case,first of all,summed up the overall listing market research literature at home and abroad,and then elaborated the relevant theory of the overall listing.By introducing the basic situation of each transaction,process,model and issue price of the overall listing of SAIC,combined with the relevant theory to analysis the motivation,the choice of model and the issue of the rationality of the price of the SAIC’s overall listing.By applying the method of event study and financial indicators from five aspects analysis the changes of the SAIC after the overall listing including economies of scale,equity structure changes,potential competition,related party transactions and synergies.Finally,through the study to draw the meaning of enlightenment and reference is obtained.The results show that: firstly,the motivation of SAIC’s overall listing includes two aspects of external and internal.Secondly,SAIC selected private placement to reverse the acquisition of the parent company model and reasonable pricing to complete the overall listing.Finally,after the overall listing,SAIC obtained positive announcement effect and rised the share price.There is a significant positive cumulative abnormal return rate of the overall market.Although there is no financial effect on SAIC has an immediate effect,but in general,the overall listing of the management is beneficial.After the overall listing,SAIC has expanded the business scale,cleverly avoided the same industry competition,so that internalized the associated transactions,however,it has aggravated the "dominance" problem,deepened concerns about the protection of small shareholders,and had a negative effect on corporate governance.Through the research,it drawed the following enlightenments: firstly,it is the key to upgrade to extend the industrial chain layout.Secondly,the mode of the overall listing cannot be completely copied,enterprises should combine their own characteristics in the overall market.Finally,the overall listing cannot be regarded as the unique "good medicine" to improve corporate governance,it is necessary to carry out evaluation and improvement of the system to protect the interests of small shareholders.