The Research On Turnaround Path Of Companies Listed On Suspension And Analysis On Effect

The supervision of the Commission has been more stringent to the listing corporation,especially to the losed listing corporation.This paper focuses on the turnaround path of the suspended listed companies which restored on Shanghai a-share listed during 2009-2014,to explores the characteristics during turnaround,and analyses the follow-up effect based on related factors,In order to provide reference for the companies listed on suspension to choose a better turnaround path to promote long-term development.This paper combines the methods of theoretical research and case studies,try to find out the characteristics of the company for three consecutive years of losses in turnaround path,and traces to earnings quality of subsequent years by certain financial analysis,we have the following conclusions: First of all,76% of sample firms use government subsidies to accelerate losses;debt restructuring occupy 63%.Then,due to the influence of political connection and state owned management,firms proposed of those conditions use government grants and debt restructuring accelerated losses;at the same time,when operating assets lose competitiveness,external opportunities for cooperation is a necessary condition for the replacement of assets to achieve for the industrial transformation.Thirdly,state owned holding sample firms is better than the non-state owned enterprises;Fourth,the 2012 Shanghai Stock Exchange Rule has played a trading rule to guide the loss companies to focus on internal potential,and promote the healthy development of the capital market.Based on the perspective of investor protection,we put forward some corresponding perfecting suggestions: First of all,the government should grasp the rational allocation of resources and correctly guide allocation of resources,ensure that government subsidies can form the corresponding social benefits;secondly,loss making enterprises should regard asset replacement as an opportunity to achieve industrial upgrade.Thirdly,the development of related regulation policy should aims at the positive factors on economic consequences.