Research on the Internal Control and Economic Effect of Enterprises after the Reverse Mixed Ownership Reform of Originwater

As a high-tech enterprise in the field of environmental protection and water treatment, Originwater completed the reverse mixed reform with China’s urban and rural areas in September 2020. The mixed-ownership reform has optimized the shareholding structure, and China Urban and Rural has become the largest shareholder, significantly improving the corporate governance structure and strengthening the supervision and balance mechanism. After the mixed-ownership reform, Originwater’s capital and business control activities have been improved, its financing capacity and project collection efficiency have been improved, and the bank credit line has increased significantly. At the same time, risk assessment, information and communication capabilities have been enhanced, and the reliability of internal reporting has been improved. In addition, internal oversight has been strengthened and oversight independence and effectiveness have been enhanced. The performance analysis shows that after the mixed reform, the market response of Originwater has been enthusiastic, and the profitability, solvency and operating capacity have been improved, especially the long-term solvency has been significantly enhanced. This paper comprehensively analyzes the motivation and process of the reverse mixed ownership reform of Originwater and its specific impact on internal control, and provides practical cases and theoretical basis for the mixed ownership reform.