Abstract:

In the backdoor listing process, in addition to general intermediary costs, publishing enterprises also need to assume the cost of equity dilution. This paper designed two indexes to measure the cost rate of backdoor listing and the rate of appreciation in asset value. Through empirical study from 4 backdoor listing of publishing enterprises,it was found that the original shareholders generally get higher asset value-added income. The intermediary costs has little difference between publishing enterprises, but special expenditure, shell resource cost and the cost of equity dilution have much more difference. By auction to obtain shell resources, the backdoor listing cost rate the enterprise undertakes is low, and the rate of asset value-added is high. There is little relationship between the cost of equity dilution and specific backdoor way. Compared with IPO, the backdoor listing does not have a cost advantage. In the circumstances that profitability requirements of IPO and backdoor listing has been convergence, the backdoor listing may only have time advantages.