Research On The Motivation And Performance Of The Backdoor Listing Of Hengli Inc.

With the gradual expansion of China's reform and opening up,many state-owned companies that were originally listed through shareholding system reform are unable to maintain a better performence for a long time,and there is obviously weakness in continuing operations.In the meantime,more and more private enterprises need the advantage of the capital market to develop,but it is difficult to be qualify for an IPO in short time.For many reasons,the "shell" resources in the capital market have become a tightly commodity,and there has been a wave of backdoor listings in China's capital market.The recently upsurge is the various express delivery companies we are familiar with.Taking advantage of the tide of mixed ownership reform of state-owned enterprises,many local SASACs are willing to transfer the "shell" resources in their hands to high-quality private enterprises as a way to reflect the spirit of mixed ownership reform.Then,how to realize the integration of state-owned capital and private capital through backdoor listing in the future,so that the SASAC will truly move from the mode of "managing enterprises" to "managing capital",and play a positive role in resource allocation will be a hot topic in the future study.The article selects the private enterprise Hengli inc.in 2016 to use Dalian State-owned Assets Supervision and Administration Commission to successfully backdoor the capital operation of state-owned listed ST companies Dalian Rubber & Plastics as the research object,through the case studies to analyze the motivations for backdoor listings and the performance of backdoor listed companies with local protectionism under the trend of mixed ownership reforms.The event research method is used to reflect the short-term market performance of backdoor listings.The Tobin Q value and the comprehensive changes of various financial indicators in the accounting research method are used to reflect the long-term operating performance of backdoor listed companies,combined with the financial statement data and the comprehensive performance of the company.Further,explore the underlying reasons for changing its operating performance.The analysis has found that the motives for Hengli inc.to choose a backdoor listing include its own IPO blocked,driven by industry competition pressure,and laying the groundwork for the group's overall business listing and the strong support of the local SASAC.The main motivation for Dalian Rubber and Plastic to choose to give the shell to Hengli inc.is the limited ability to continue operations,to avoid delisting,the orderly advancement of the capital market registration system,and the powerful matchmaking of the Dalian State-owned Assets Supervision and Administration Commission.In terms of operating performance,after Hengli inc.entered the capital market through backdoor listing,due to the "halo" with the SASAC's care,it was not initially recognized and supported by market investors.The short-term market response was poor,but it has undergone market tests.Laterly,it gradually stabilized its footsteps,realized the overall listing of the group's business,and built an integrated production line by taking advantage of the convenience of financing in the capital market.It gradually got rid of the pressure of the industry cycle and the development direction became clearer,which made the company's comprehensive profitability,Growthability has also been improved to a high degree.Judging from its annual report datas and comprehensive performance,the establishment of long-term mechanisms such as the improvement of equity structure and corporate governance mechanisms,the substantial increase in R & D investment,the over-fulfillment of questionable performance compensation commitments,and stock incentive plans and stock repurchases It is classified as a deep-seated factor that promotes Hengli's performance change.Finally,the article also analyzes the enlightenments of Hengli inc.backdoor listing,and to provide some references for the private enterprises that to achieve backdoor listing state-owned enterprises and the integration of private capital and state capital in the process of mixed ownership reform.