The Case Study Of The Backdoor Listing Of Zhejiang Daily Media Group

All this time,our publishing industry has relied heavily on fiscal funding to maintain its operations,and the competition within the industry is minimal.In the 1970 s,our country began to progressively move forward with the implementation of business units,enterprise management ",however,due to the lack of market-based competition,The publishing industry is still in a business model that is narrow,fragmented and less efficient.Now,in the rapid development of internet technology,the rapid rise of the capital markets in and around the country,emerging media patterns have emerged,creating a strong impact on the traditional publishing industry.At the same time,some of the most powerful international media companies have also taken advantage of our national economic and international opportunities to pose a threat to our media industry.In such a severe form,how our publishing industry breaks down barriers is becoming an urgent issue.In 2011,Zhejiang Daily Media Group had completed a backdoor listing of its assets,and its financial performance improved significantly.Zhejiang Daily Media Group is the first newspaper media group to list as a first-rate asset market,so studying its listing process will provide valuable experience for many of our country's media companies.This article first sets out the background and significance of the study,and reviews the relevant studies of international and domestic academics on backdoor listings and their financial effects,and introduces backdoor listings' concepts and theories,then analysis the whole process of the backdoor listing of Zhejiang Daily Media Group in three ways as the industry's background,motivation and specific practices.Then sums up three main financial effects of the backdoor listing of Zhejiang Daily Media Group: a sharp rise in share prices,a significant drop in Tobin q value,and a steady rise in overall yields.To combine the financial effects with similar cases in the same industry,combining the backdoor listing conditions and specific practices of Zhejiang Daily Media Group,there are a number of causes for these financial effects after the backdoor listing.The core resource synergies enhance the value of the business,and Zhejiang Daily Media Group uses advanced management methods,wide-covering business networks and sophisticated business services to enhance the value of the business.Meanwhile,in 2010,the provincial government of Zhejiang,introduced further guidance and" the 122 engineering projects to increase guidance and support for eligible companies,to encourage business backdoor listings.This policy background provides a powerful help for Zhejiang Daily Media Group.In the end,this article summarizes the experience of the backdoor listing of Zhejiang Daily Media Group.It is important to consider the importance of taking the initiative and choosing the right shell companies to cut back on the latter and make the best use of the policy incentives to reduce the external risk,as an important experience in achieving efficient backdoor listing.We should also focus on the integration of resources,particularly the conflict between the two companies' culture.While focusing on the market effects of the backdoor listing,it is also important to focus on the integrity of the group's internal control,so that it is better to integrate in the subsequent integration and fully achieve the synergies.