Performance Analysis of Microport Medical Spin Off Listing

Abstract

As one of the management methods of shrinking enterprise assets, spin-off is conducive to optimizing and integrating enterprise resources and improving core competitiveness. This paper chooses Endovascular as the research object, which is the first share listed on the science and innovation board. It analyzes the general situation of the parent and subsidiary companies and the motivation of the spin-off. It also analyzes the market performance and financial performance of the parent and subsidiary companies by using the event research method and the financial index analysis method. The results show that, the spin-off meets the motivation of the parent company and is conducive to improving performance. In terms of market performance, the spin-off is conducive to the improvement of the market performance of the parent and subsidiary companies. The specific performance is that the stock price of the parent and subsidiary companies has a good trend after the spin-off, and the cumulative abnormal return rate has been obtained. In terms of financial performance, the impact of spin-off on the financial performance of the parent company is generally weak, but it can effectively improve the financial performance of subsidiaries.