Research On Debt Restructuring And Its Performance Motivation Of Shenyang Machine Tool Co.,Ltd

Debt restructuring is one of the most effective ways for enterprises to get rid of financial difficulties,which is favored by many listed companies.However,there are differences in the motivation and performance of debt restructuring among different enterprises.Shenyang machine tool company has experienced two debt restructuring,after which war investment and market-oriented debt to equity swap have been introduced to solve the problems left over by history.Taking the debt restructuring of Shenyang Machine Tool(hereinafter referred to as "St Shenyang Machine")Company as a case,this paper deeply studies the motivation of its debt restructuring and its impact on the company’s performance.Firstly,the paper analyzes and summarizes the relevant probability theoretical basis and literature of debt restructuring,and expounds the motivation of debt restructuring and its mechanism of affecting corporate performance.Then it analyzes the motivation and implementation process of the two debt restructuring of St Shenji.It is found that the motivation of the first debt restructuring is to maintain the listing qualification,avoid delisting risk and protect the interests of shareholders and creditors;The main motivation of the second debt restructuring is to improve the company’s financial performance,promote the comprehensive reform of enterprises,and fulfill the social responsibility of regional economic stability.The main difference between the two debt restructuring is that the second restructuring pays more attention to the improvement of long-term operation ability.In addition,according to the efficient market theory and economic consequence theory,this paper analyzes the short-term financial effect and long-term financial effect caused by the two debt restructuring.Among them,the performance of short-term debt restructuring is calculated by the event research method,and the market performance after restructuring is analyzed.For long-term financial performance,the financial index method is mainly used to study the performance of enterprises,and the impact of two debt restructuring schemes on enterprise performance is evaluated through vertical and horizontal comparison.Based on the analysis of restructuring performance indicators,this paper objectively evaluates the two debt restructuring schemes of St Shenji.It is found that the implementation of debt restructuring scheme can significantly improve the short-term financial performance of enterprises.On the one hand,it can obtain high restructuring income and turn losses into profits;On the other hand,it can also improve the solvency profitability,development ability,operation ability and other financial indicators of enterprises.However,the study also found that debt restructuring did not significantly improve the long-term operation ability and governance structure of enterprises,and failed to effectively improve the innovation performance of enterprises.In view of the performance and problems of St Shenji’s debt restructuring,this paper puts forward specific optimization suggestions from the aspects of restructuring scheme design,selection and introduction of strategic investors,optimizing internal governance structure and paying attention to resource integration after restructuring.The research conclusion has a certain reference value for other debt restructuring enterprises.