The Research On The Motivation And Performance Of Company D’s Spin-off And Listing Of Company Y

Spin-off listing can realize the independent listing of subsidiaries in the capital market.As a means of capital operation,spin-off and listing can solve problems such as information asymmetry and negative synergies arising from business expansion of enterprises,and can also help enterprises to expand financing channels and realize business strategic planning.Our country has always taken a strict attitude towards spin-offs and listings.Until the promulgation of the "Several Provisions on the Pilot Program for the Spin-off of Subsidiaries of Listed Companies in China" in 2019,our country’s capital market will usher in an upsurge in spin-offs.The impact on company performance is particularly important.This paper attempts to study from the two aspects of motivation and performance,in-depth analysis of the motivation and achievement of the company D’s spin-off of the company’s listing,as well as the impact on the performance of the parent and subsidiary companies,in order to provide information for company D’s spin-off of the main hydrogen energy business in the future.Company Q and other companies planning to spin off and go public provide lessons.This paper is based on financing theory,nuclearization strategy theory and information asymmetry theory.In terms of motivation research,by referring to the market announcements issued by D company and the prospectus of Y company,the motivation of D company’s spinoff of Y company’s listing has been carried out.Specific research;in terms of performance analysis,the event research method is used to calculate whether the parent and subsidiary companies have obtained excess rate of return,and the financial evaluation index is constructed based on the entropy method.System,evaluate and analyze the financial performance of parent and subsidiary companies from 2017 to 2021,and analyze the nonfinancial indicators to explore the impact of spin-off and listing on the performance of parent and subsidiary companies.Through the analysis,the following research results are obtained:The reasons for the spin-off of Company D by Company Y to go public are to improve the financing ability of the enterprise,ease the financing pressure,expand the scale of the enterprise,achieve strategic focus,reduce information asymmetry,and improve enterprise valuation.The spin-off and listing is conducive to improving performance.In terms of market performance,the market has responded positively.Although the parent company’s excess rate of return is not obvious,the subsidiary has obtained a significant excess rate of return;in terms of financial performance,the subsidiary has improved In terms of non-financial performance,the R&D capability and enterprise scale of the parent and subsidiary companies have been improved.As far as the motivation is concerned,the spin-off and listing have achieved the motivation to increase corporate valuation,broaden financing channels,expand corporate scale and achieve strategic focus.Finally,according to the research results,the following suggestions are put forward:-spin-off and listing should be based on development strategies,select high-quality and undervalued companies,rationally use raised funds after listing,and pay attention to the development capabilities of parent and subsidiary companies after spin-off.