Analysis Of The Motivation And Performance Of Chinese Stocks Returning To A-shares

Since the 1990 s,due to the slow development of the domestic capital market and incomplete policies,many high-quality companies had to turn to overseas listings due to the stringent listing conditions in China.Since 2010,with the increasingly harsh environment of overseas capital markets,the continuous development of the domestic market and the gradual strengthening of market openness,many Chinese Concept stocks have sought to return.Myriad Medical is the first company to return to China through an IPO,and the process of Myriad Medical’s privatization and delisting from overseas capital markets to its equity structure and finally its successful listing on the GEM is somewhat typical.Therefore,this paper takes Myriad Medical as a case company and adopts three research methods: literature research method,case study method and comparative analysis method,based on theoretical basis of revaluation theory and transaction cost theory.Secondly,we analyze the motivation of Myriad Medical’s return to A-share from three perspectives: policy,market environment and the company itself,revealing the factors influencing Myriad Medical’s strategic choice and summarizing the motivation of its overseas delisting and domestic relisting.In addition,we analyze the financial indicators before and after the return of Myriad Medical from the financial perspective and the differences between Myriad Medical and the domestic industry average from the horizontal perspective;and analyze the strategic development,R&D investment,employee motivation and social responsibility of Myriad Medical from the non-financial perspective after the return of Myriad Medical to the domestic A-share market,to comprehensively conclude the impact of Myriad Medical’s return to the domestic A-share market on its performance.Finally,the conclusions of this paper are summarized,and insights are drawn from the case of Myriad Medical’s return to the domestic GEM from the perspectives of Chinese companies,regulators and investors.It is hoped that this paper can provide some experience and reference for other Chinese Concept stocks preparing to return to China,so as to understand the problems and possible risks faced by foreign delisting and domestic re-listing,and enable them to grasp the timing,choose the appropriate return path and improve their performance after return in conjunction with their own strategic planning.At the same time,it will enlighten the management system of China’s capital market,continuously enrich the market system,attract more high-quality Chinese Concept stocks to return,and increase the vitality of China’s capital market;and strengthen the supervision to reduce the return arbitrage of Chinese Concept stocks and maintain the stable and orderly development of the market.