Study On Motivation And Performance Of Backdoor Listing Of Bauing Decoration

Since 2011,the competition in China's architectural decoration industry has been fierce.The expansion of enterprises in the industry is mainly based on the expansion of the market area scale.The market layout of some building decoration companies has basically been completed.Therefore,other companies in the architectural decoration industry are constantly looking for ways to develop themselves in this context,the most common of which is through listing to the capital market.As we all know,IPO listing process is cumbersome and takes a long time.At the same time,starting from November 2012,the CSRC suspended the listing approval.Based on the above background,Bauing Decoration successfully listed on the A-shares through the backdoor Chenglin Group in 2013.As the first company in the building decoration industry to go through the backdoor to enter the capital market,Bauing Decoration's backdoor listing attracts people's attention.This article will study the motivation and performance of the backdoor listing of Bauing Decoration.This article first sorted out the entire process of Bauing Decoration backdoor listing,and analyzed the motivation of its backdoor listing from multiple perspectives.Through research,it was found that the reasons for the backdoor listing of Bauing Decoration included the suspension of IPO,the expansion of financing channels,the use of capital market to increase market share,the promotion of corporate reputation,and the improvement of corporate system and corporate practice;Meanwhile the actual situation of the enterprise led to the backdoor listing;Secondly,this paper studies the financial performance and non-financial performance of backdoor listing based on five aspects: financial index method,market share,customer satisfaction,capital market performance,and corporate strategic layout.The research showed that the short-term solvency of Bauing Decoration had increased after the backdoor listing,and profitability,long-term solvency,operating capacity and development capacity had declined,but the downward trend in profitability and development capacity was far below the average of industry.Market share and customer satisfaction had been continuously improved.The capital market performed well and the strategic layout of enterprise had become more perfect.All in all,backdoor listing had brought a positive impact on Bauing Decoration.