Research On The Performance Of Dual-class Share Structure Of Listed Companies On Sci-tech Innovation Board

In March 2019,Shanghai Stock Exchange issued the Listing Rules of shares on the science and innovation board,allowing scientific and technological innovation enterprises to use the special voting mechanism to list on the science and Innovation Board of Shanghai Stock Exchange.In January 2020,U-cloud was the first enterprise to adopt Dual-class share structure to be listed on the science and innovation board.The successful listing of U-cloud marks the birth of the first Dual-class share structure enterprise in China’s A-share market.The impact of Dual-class share structure on enterprise performance is worth exploring.Based on the analysis of the dual ownership motivation of China’s science and innovation board listed companies,this paper studies the performance and further discusses the existing risks.Firstly,it summarizes the concept and related theories of dual ownership structure from the theoretical aspect,and analyzes how the dual ownership structure affects the enterprise performance from the theoretical aspect.Secondly,using the method of case study,this paper analyzes the development process of U-cloud,the change of ownership proportion structure and the mechanism of Dualclass share structure on performance,and analyzes the motivation of U-cloud’s implementation of dual ownership structure.Finally,it analyzes the performance of Ucloud after the implementation of dual-class share structure from two aspects: financial performance indicators and non-financial performance indicators.In terms of financial performance,Tobin Q value and Du Pont analysis are used to explore the changes of the company’s financial performance after the implementation of dual ownership structure.From the perspective of non-financial performance,this paper discusses the impact of Dual-class share structure on U-cloud’s performance from four aspects: corporate governance structure,market reflection,risk management and R & D innovation ability.At the same time,combined with the content analysis of the case company’s implementation of dual-class share structure,evaluate its performance after the implementation of dual ownership structure,and put forward optimization suggestions for U-cloud’s implementation of dual ownership structure according to the problems found.The research conclusion is: in terms of financial performance,after U-cloud implements the dual-class share structure,its solvency and operating capacity remain stable,and the overall cash flow remains stable.However,due to the impact of net profit,U-cloud’s profitability continues to decline,which has a negative impact on the overall financial performance of the enterprise.In terms of non-financial performance,although the market is not optimistic about U-cloud,the dual-class share structure plays a positive role in promoting U-cloud’s corporate governance structure,risk management ability and R & D innovation ability.Due to the founder’s team decisions such as its business strategy,product pricing and project layout,U-cloud may face the risk of mistakes.In addition,the internal and external supervision mechanism under the dualclass share structure is weakened,which is easy to damage the interests of minority shareholders.In this regard,the following suggestions are put forward: improve the internal and external supervision mechanism,establish and improve the information disclosure system,and add provisions to protect minority shareholders.