Research On The Performance Of Spin-Off Listing

With the development of China's capital market,the importance of split listing in the capital market has been gradually improved.In recent years,with the increasing downward pressure of the real estate market,major real estate companies began to focus on the capital action of spin-oflf listing.They have considered through the spin-off property management,hotel operations and other light-asset plate business listing,in order to seek the company's business transformation and improve the company's value.Colour Life Services Group Co.,Ltd.is the first property management enterprise to spin-off list on the Hong Kong Stock Exchange,which has good research value.Through the analysis of this case,this paper studies the impact of spin-off listing on the performance of parent and subsidiary companies,aiming to provide reference for other real estate companies seeking to list the spin-off business.The thesis uses the combination of theoretical research,case analysis and data comparison.Firstly,it sorts out the core theories such as the connotation,mode and motivation of the spin-off,and analyzes the impact of the spin-off on the market value and business performance of the company.On this basis,the motivation,compliance and process of the company's choice of spin-off and listing are analyzed.Meanwhile,the changes in the stock price,main financial indicators,social recognition,brand value of the parent and subsidiary companies before and after the listing of the Color Life are compared.Comparison result display that life has acquired or invested in property management companies with a large amount of listed funds.Simultaneously,the market share and business scale have expanded rapidly,which greatly promoted the company's market value and business performance,and at the same time promoted the market value of the parent company to a certain extent.However,the impact on the parent company's business performance is small.Based on the above research,the article draws the following conclusions and inspirations:(1)The spin-off listing reduces the information asymmetry of the parent company and enhances the market value of the parent company;(2)The spin-off listing helps the Color Life business transformation and upgrade.The business performance of Color Life brought new performance growth points for Fantasia Holdings;(3)The spin-off listing opened up the financing channels for Color Life and improved the solvency of Color Life;(4)The spin-off listing increased the corporate image and comprehensive competitiveness of Color Life.However,all these improvements are ultimately the result of the unique business model and good strategic guidance of Color Life,and the spin-oflf is only a boost.Real estate listed companies that wanted to split the business sector first should be based on their own strategic planning,and secondly enhance the core competitiveness of the proposed listing of assets,finally establish and improve the company's internal control system.Only a healthy company with good development prospects can achieve the expected results by splitting and listing under the premise of the company's strategic planning.