An empirical study on the call option value of restructured companies

• Main Authors: Mei-Li Lin, 林美利
• Other Authors: Chung-Jen Fu
• Format: Others
• Language: zh-TW
• Published: 2006
• Online Access: http://ndltd.ncl.edu.tw/handle/23613072454951389067

碩士 === 國立雲林科技大學 === 企業管理系碩士班 === 94 === Tong Lung Metal Industry Co., Ltd. is the first company in Taiwan in the past 20 years that filed for restructuring to a court, made a successful transition, and went public again. In 1998, when Tong Lung applied for restructuring, it totaled to 7.8 billion in loss, 8.1 billion in debt with the total assets of 4.8 billion and net profits of 3.2 billion (NT dollars). From its financial record, this corporation almost went out of business. But from its industrial structure, it still had core competitive edges because of its top R&D technologies in locksets and product launch process in Asia. After its restructuring proposal was approved by the court and it gained support from banks, it successfully completed its restructuring and made a come back. in 2006. The aim of the research was to discover the call option value of restructured companies from the system of limited responsibility. Based on the anticipated main characteristics that successfully affect restructuring, 4 hypothesizes were proposed. Meanwhile, an explanatory method was utilized in this research to test the listed companies in Taiwan. The result showed that the par value of a company’s stocks, companies with industrial scales, and the permission of a restructuring proposal have positive correlation to the degree of variation of stock market price. It also indicated that when a company has a financial crisis and enters the phase of restructuring, except for the par value of stocks, the influence of other figures in a financial statement is much lower than average ordinary companies.