中國國有企業私有化發行的績效表現及其潛在影響因素

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中國國有企業私有化發行的績效表現及其潛在影響因素

 

Author: 李秋鴻
Li, Qiuhong
Title: 中國國有企業私有化發行的績效表現及其潛在影響因素
Zhongguo guo you qi ye si you hua fa xing de ji xiao biao xian ji qi qian zai ying xiang yin su
Corporate performance and share issue privatization: further evidence from Chinese state-owned enterprises
Degree: D.Mgt.
Year: 2008
Subject: Hong Kong Polytechnic University -- Dissertations.
Government ownership -- China.
Privatization -- China.
Department: Graduate School of Business
Pages: xi, 135 leaves : ill., charts ; 30 cm.
Language: Chinese
InnoPac Record: http://library.polyu.edu.hk/record=b2291098
URI: http://theses.lib.polyu.edu.hk/handle/200/4871
Abstract: Privatization of state-owned enterprises (SOEs )has swept the world over the last two decades in both developed and developing countries. Extant literature documents a significant improvement in corporate performance after SOEs' privatization. The determinants of corporate performance improvement are mainly firm-level factors such as the corporate governance structure for firms in developed countries. However, for firms in developing countries, post-privatization corporate performance improvement is mainly related to country-level factors such as the level of openness of the economy and economic growth rate. Privatization for most Chinese stated-owned enterprises is achieved through share-issue-privatizations (SIPs), which are almost always primary issues without any sales of existing shares (secondary issues). Unlike for other countries, evidence is mixed regarding post-privatization corporate performance for Chinese SOEs. However, both the size and quality of the capital markets in China have significantly improved over the last few years and more Chinese SOEs choose to list shares in Hong Kong (H-shares). This study will employ a sample of SIPs in the recent years that include the H-shares as well. The sample allows us to examine how the different levels of investor protection influence corporate performance, both domestically and across markets. This is possible since investor protection in the domestic market has improved over the last few years, and the common-law tradition in Hong Kong is more likely to offer better protection relative to the civil-law tradition in mainland China. We also try to identify the determinants of corporate performance improvement, and assess the relative importance of firm-level versus country-level factors. Covering the period of 1998 through 2005, our final sample consists of 487 SIP IPOs, 450 of which are A-shares and the remaining 37 are H-shares. We find that overall, financial performance as measured by ROA, ROE, and Return on Sales (ROS) deteriorates after SIPs. However, the drop in corporate performance is smaller for H-shares, consistent with the view that better investor protection mitigates earning-management before SIP IPOs. Secondly, we find a significant improvement in corporate sales (inflation-adjusted sales) after SIPs. It is interesting to note that both real sales and sales growth rates are higher for the A-shares sub-sample in comparison to the H-shares sub-sample. Furthermore, we find a significant improvement in productivity as measured by real sales per employee after SIPs. As alluded to earlier, almost all SIPs in China are primary offering without any component of secondary offerings, which are quite different from other countries in which most, if not all, of the offerings are secondary. This key difference means that SIPs in China always increase both the book value of equity and total assets, creating a downward bias against finding improvement in ROA or ROE after SIPs. We think this is one of the major reasons why financial performance deteriorates after SIPs for Chinese SOEs. This thesis further analyzes the determinants of corporate performance changes after SIPs for our sample firms. Overall, we find that both macroeconomic and firm-level factors play a significant role in explaining post-SIPs corporate performance, with macroeconomic factors being slightly more important. Specifically, post-SIPs performance is significantly related to the following macroeconomic variables: the choice of listing location (A versus H-shares), GDP growth rate, the level of industry competition, and the maturity of the stock market. Significant firm-level factors include the level of ownership by the controlling shareholder, ownership concentration, institutional ownership, the level of related-party transactions, and auditing quality. This thesis contributes to the extant literature in several ways. First, it covers a more recent sample period and uses firms listed both in mainland China and Hong Kong. The new sample allows us to examine the impact of institutional development on post-SIPs corporate performance. Secondly, this thesis distinguishes between the influences of country-level and firm-level factors on post-SIPs performance. Our findings suggest that the success of SIPs is dependent on the maturity of the capital market and the level of investor protection as well as the post-SIPs ownership structure and effective monitoring by institutional investors and reputable auditors.

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