Analysis Of The Motivations And Financial Performance Of BAIC New Energy's Backdoor Listin

In recent years,Chinese new energy automobile industry has been developing rapidly,and New energy automobile sales have been the number one in the world for six years in a row.And as the 14 th Five-Year Plan clarifies the time node for my country to achieve carbon peaking and carbon neutrality,environmental protection are also getting more and more attention.The development of new energy automobile has also become an important part of realizing green travel and low-carbon life,and it is also an important opportunity to catch up with other countries in the automobile industry.While listing new energy vehicles as one of the seven areas in the national strategic emerging industry plan,the state also encourages mergers and reorganizations of enterprises to become bigger and stronger,and further increase the industrial concentration.Beijing Automotive Group is an old-fashioned traditional automobile manufacturer in my country.In 2018,its subsidiary,BAIC BJEV,backdoored Chengdu Qianfeng Electronics Co.,Ltd.into the capital market and became the first new energy vehicle stock in my country’s A-share market.Therefore,this study takes the backdoor listing of BAIC BJEV as a case,and analyzes the motivation and performance of its backdoor listing,in order to explore whether the backdoor listing can improve the financial performance of new energy vehicle companies,and provide reference for other new energy vehicle companies accessing to capital market.This research will focus on "the motivation of BAIC BJEV backdoor listing and its performance changes before and after listing" Through the reading of previous relevant literature and familiarity with the relevant theories of backdoor listing,a preliminary understanding of the mode of backdoor listing,the motivation of backdoor listing and the backdoor listing listing effect.By reviewing the backdoor listing process of BAIC BJEV and guided by relevant basic theories,this paper analyzes the reasons for the backdoor listing of BAIC BJEV.In terms of performance research,this paper uses the Event Study to explore the changes in the short-term market reaction after the backdoor listing of BAIC BJEV.At the same time,Index analysis method and the Entropy method are used,and based on the financial statement data of BAIC BJEV from 2015 to 2020,Conclusions were drawn as to whether longterm performance should be improved.Finally,the following conclusions are drawn: First,the reasons for the backdoor listing in this case can be mainly divided into two aspects: BAIC BJEV’s backdoor motivation and Qianfeng Electronics’ backdoor motivation.Second,after the backdoor listing,the short-term market reaction is relatively negative,and the long-term financial performance has declined to varying degrees except for the growth ability.Third,this paper believes that the main reason for the poor performance after listing is that it continues to expand after the backdoor listing,which has caused huge pressure on the solvency and operating ability of the company.Fourth,this paper thinks that BAIC BJEV’s choice of a company that belongs to the same actual controller to backdoor list is worth learning from.However,it is difficult to exploit synergies between the borrower and the giver in different industries.Although the reform of the comprehensive registration system is currently being implemented,for companies that are not very capable,backdoor listing is still a way worth considering.