Does Holistic Listing Improve the Efficiency of China's Listed Companies?

摘要

In order to observe whether holistic listing improves the efficiency of listed companies in the long term, this paper empirically tests the performance changes of listed companies that have realized holistic listing in 2004-2007 in China's stock market. We use improved FA-DEA method to evaluate the efficiency changes, and then apply Tobit Model to analyze the influence of holistic listing, size, major shareholders property, profitability and growth on corporate performance. The improved FA-DEA method adopts new DEA input variable processing way which considers the difference of each element reflecting from the information of initial data. Our tests show: although the sample efficiency is improved in the short term after holistic listing, it declines later; the efficiency of samples becomes lower when the corporate is state-owned; with the size expansion the corporate long-term performance becomes worse after holistic listing than that before. Therefore, it is inappropriate to take holistic listing as a magic bullet to improve the performance of listed companies, and it is better to take effective measures to prevent bad assets being injected into listed companies via holistic listing.