| The achievements of China's economic development have attracted worldwide attention,and the degree of the reform and opening-up policy has also continued to deepen.At the same time,a large number of Chinese companies in the capital market have chosen to go public overseas in order to seek better development of the enterprises.Since the early 1990 s,there have been five waves of Chinese enterprises landing in the U.S.capital markets.But since 2010,some Chinese concept stocks have delisted from the overseas markets due to various reasons such as the attack of some short-sellers,underevaluation and corporate management,and also because of the continuous improvement and development of Chinese capital market.Shanghai Journey Network Technology Co.,Ltd.,formerly known as Giant Interactive Group Inc.,was established on November 18,2004.It is an comprehensive entertainment company which is famous for its online games.What is more,it works on research and development,operation and sales simultaneously.Giant Interactive Group Inc.landed on the New York Stock Exchange on November 1,2007,and became the largest private Chinese company listed in the United States.On November 25,2013,Giant Interactive Group Inc.announced that it intends to repurchase its shares for a privatization of $ 11.75 per share.On July 18,2014,Giant Interactive Group Inc.completed its privatization and announced its delisting.On November 10,2015,Century Cruises announced a restructuring agreement with Giant Interactive Group Inc.,Century Cruise intended to issue 442.5 million shares to Giant Interactive Group Inc.at the price of 29.58 yuan to buy 100% equity of Giant Interactive Group Inc..On June 8,2017,Century Cruises announced that it has completed the change of business registration,the company name and stock abbreviation.It also meant that Giant Interactive Group Inc.completed delisting from the NYSE and returned back to the A-share market.Some Chinese concept stocks have been privatized passively because of their own business operations.However,many enterprises,such as the Giant Interactive Group Inc.,have voluntarily privatized from overseas markets.Among the Chinese concept stocks that have completed the privatization,many of them choose to return to the A-share market by using back-door listing or IPO.The phenomenon that some of the Chinesecompanies delist from the overseas capital markets and return to the A-share market has a far-reaching impact on the enterprises and the stock market.This thesis takes the motivation and path of privatization in Chinese concept stocks as the theme.By using the case that Giant Interactive Group Inc.delisted from overseas capital market and returns to the A-share market through back-door listing,this paper mainly analyzes the motivation and mode of privatization,corporate strategy and the return path that enterprises chose and the performance analysis after the Giant Interactive Group Inc.returning to the A-share market.Then we can obtain successful experience of the company in the process of privatization and the back-door listing,it can give us some references and suggestions on the decision-making of delisting of Chinese enterprises.The article is divided into four parts: the first part of this article is an introduction,including the research background,research significance,methods and ideas of research,innovations and shortcomings,literature review and the introduction of the relevant conditions of Chinese concept stock.Through the detailed introduction of the relevant information of Chinese concept stock,we can get a clear and accurate understanding of the meaning of Chinese concept stock and the current situation of Chinese concept stock in our country.The second part of this article is a brief introduction of the case------Giant Interactive Group Inc.delisted from overseas capital market and returns to the A-share market through back-door listing.In this section,we will first introduce the specific circumstance of the delisting of Chinese concept stock,which will serve as a background introduction to this chapter.In recent years,many Chinese enterprises have delisted from overseas capital markets,including the Giant Interactive Group Inc.,Qihoo 360 and some other enterprises.Due to their different situations,various enterprises have different motives to delist from the overseas capital market.Except for a detailed introduction of the status quo of Chinese concept stock,this chapter will also introduce the central case of this article in details——Giant Interactive Group Inc.delisted from overseas capital market and returns to the A-share market through back-door listing,and this part will describe the process of the case.The third part of this article is a case study of Giant Interactive Group Inc.delisted from overseas capital market and returns to the domestic A-share market through back-door listing.This part first introduces the relevant theory of the delisting of Chinese concept stock.It will also analyze the main reason for thewithdrawal of the existing Chinese concept stock and the different options for returning to the A-share market after the withdrawal of Chinese concept stock.Then,there will be a case study of the central case of this article——Giant Interactive Group Inc.delisted from overseas capital market and returns to the A-share market through back-door listing.The study of case includes the reasons for the privatization of Chinese concept stock from the NYSE privatization,the methods of privatization,the options of return to the A-share market after delisting from overseas capital market,and the performance analysis of Giant Interactive Group Inc.which is based on the financial data of the company.Through the analysis,we can get the successful experience of the strategy selections which was used by Giant Interactive Group Inc.on the basis of the environment of the market and the characteristic of the company in the process of privatization and back-door listing,then we can get some meaningful recommendation and enlightenment about the privatization and back-door listing of Chinese concept stock.The fourth part of this article is the conclusion and suggestion.Firstly,in this section,there will be a summary and a conclusion of the case.After that,the paper will give some suggestions to Chinese enterprises about the choices of methods of delisting and back-door listing,and to the government to make the capital market to be more efficient.The privatization and return of Chinese concept stock receives more and more attentions in recent years,it has a profound and far-reaching impact on the domestic capital market.It is important to understand and research the main reasons for the overseas delisting of Chinese concept stock,the methods of delisting and the choices of ways of return,because it can provide valuable reference to the development and improvement of the capital market,and also offer some recommendations on resource allocation and corporate strategy to the withdrawal of Chinese concept stock.Therefore,the thesis researches the motivation of the withdrawal of Chinese concept stock,the privatization way and the choice of the return route by taking the example of Giant Interactive Group Inc.as a centre case,it is meaningful to the development and improvement of the capital market,and long-term development of Chinese concept stock. |
