Qihoo 360 Return To A Share Case Analysis

As the process of economic globalization has gradually deepened,the integration of international financial markets and the emergence of Chinese companies going overseas for listing are not uncommon.Overseas listings have relatively loose requirements compared to the domestic capital market and can expand the reputation of the company.However,the short-selling crisis and other events that occurred after 2012 made the survival environment of most of the US stocks worse and worse.Many of the stocks in the stock market suffered serious losses and the market value shrank.In order to improve the crisis situation and pursue a high premium in the domestic capital market,the US-China stock companies have to seek privatization to return to the A-share market to get out of trouble.A large number of companies,such as Perfect World,Giant Network,and Focus Media,have adopted a strategy of delisting from the United States in a privatized manner,which has also set off a wave of privatization and delisting of the first wave of shares.At the same time,the gradual optimization of the domestic capital market environment and institutional policies,as well as the gradual improvement of the multi-level capital market system,make it easier to return the A-shares to the US stocks.However,it is not easy for the Chinese stocks to return to the A-shares.The return of the Chinese stocks to the A-shares usually requires a process of "privatization delisting-demolishing the VIE structure-equity transfer and restructuring-A-shares are re-listed".Therefore,select the typical case of returning A shares to A shares.Qihoo 360 returns to A shares to analyze the motivation of returning stocks and whether the return can really bring financial performance optimization to China Stocks.It is of great significance for companies that intend to return to the A-share market to provide reference.By analyzing the motivation of Qihoo 360’s return in detail,this paper understands that the motivation of its return is mainly to get rid of the situation that the market value is underestimated,to avoid the blow of short-selling institutions and the current financial environment that is getting better in China.The value of its return is reflected in the estimation.The value is improved and the enterprise equity structure is optimized.For the effect aspect,the regression reduces the privatization cost,increases the positive spillover,and also generates tax-saving benefits.The problems arising from the regression process are mainly There are three major aspects:the huge financial pressure,the blocking of small and medium-sized shareholders,and the way to go public.Finally,we will extend the revelation and suggestions to the regulatory agencies and put forward our own thinking and suggestions for the capital market.The return of Qihoo 360 is a typical example of the return of A-shares to A-shares.Through detailed research on this case,we can analyze in detail the motivations and eftects of the privatization of the stocks and return to A-shares,which is the current desire to return to A-shares.The China Stock Exchange provides a certain degree of reference.