Study On The Motivation And Path Selection Of The Privatization Of Chinese Concept Companies To Return To Chinese Market

In recent years,Chinese concept companies which listed overseas have encountered lots of malicious short-selling,triggering confidence crisis.The US market is no longer the best option for enterprises.At the same time,with the development of the Chinese market,a large number of Chinese companies choose to return to Chinese market.As of the end of 2016,167 Chinese companies announced their privatization delisting,with a total transaction value of 46.6 billion US dollars,including many industry benchmarks such as ShengDa.Why do Chinese listed companies that have successfully listed overseas choose to withdraw from the market? What are the benefits of returning domestic market to the company? This essay decides to analyze the motivation and path of return to Chinese market,in order to promote the listing overseas enterprises to develop healthily and continually,to contribute to the improvement of Chinese capital market.This article has a total of five parts.The first part is the introduction,which mainly introduces the research background and research value,and summarizes the theory of privatization delisting at domestic and abroad.The second part mainly introduces the definition of privatization and related theories,mainly from the concept of privatization,methods,etc.From the perspective,the conclusion of relevant theories lays the foundation for the motivation and path selection of the latter;the third part is the case introduction,which mainly introduces the business and operation status of the case company WuXi PharmaTech,and details the process of the company from establishment to listing to delisting.The fourth part is the case analysis.From the perspective of the company and the policy environment,it analyzes the motivation of the withdrawal of U.S.market and the return path selection of WuXi PharmaTech.The fifth part is the case revelation and suggestion from the case company.it Summarizes from the introduction and analysis and provides experience for the return of other Chinese concept companies.The suggestion to supervisors can make the process of return easier and more convenient which can attract more companies to return to Chinese market.In this paper,WuXi PharmaTech is used as the research object to analyze the motivation and path selection of privatization of Chinese concept companies.WuXi PharmaTech successfully returned to Chinese market in May 2018.It is the leading company in China's CRO industry and the first Chinese concept company to return through IPO listing.Therefore,WuXi PharmaTech's experience has great reference for other companies.Until now,the number of Chinese companies that have successfully returned to Chinese market is still very few,and relevant research on privatization is still relatively rare,which mainly focus on the motivation of the privatization of the Chinese concept companies.There are relatively few studies on the factors affecting the successful return of Chinese concept companies to Chinese market.This paper studies the case of WuXi PharmaTech's return,mainly analyzes its motivation and path selection,and gives suggestions to Chinese concept companies.