Research On The Performance Impact Of CG Company S Private Placement

The Securities Issuance Administration Measures of Listed Companies issued by the Securities Regulatory Commission in 2006 marks the formal entry of the targeted issuance into our country.Because of its low issuing cost and less restriction of issuing conditions,once this financing method is implemented,it is favored by many listed companies.However,how the effect of the enterprise after the directional additional issue,whether the directional additional issue can really provide a long-term help for the development of the enterprise remains to be studied.Therefore,the research on the performance impact and related economic consequences of directional placement has very important theoretical significance and practical value.Through combing the existing literature and theories,it is found that many scholars in our country have studied the interest transmission and discount motivation of the large shareholders in the directional additional issuance before.Therefore,this paper selects the case of CG company’s directional additional issuance,and makes a key analysis on the performance impact,that is,market performance and financial performance,in the process of its additional issuance and after the additional issuance.First of all,this paper makes a brief statement of the existing domestic and foreign related literature research results.Secondly,the related concepts,distribution process and advantages and disadvantages of directional placement are explained.Again in the following part of the introduction of the case company profile,including the content of its additional plan,the entire process of the time line,and so on,and then on this basis of the CG company targeted additional economic consequences of the relevant analysis.Finally,the following three conclusions are drawn: first,the company has produced a positive market performance response C G the company’s directional issuance.Second,the related financial indicators after the company’s targeted issuance financing have declined,and the impact of targeted issuance on financial performance is debatable.Third,CG company this directional additional issue has the related risk.Based on this,in this aspect of the performance research,the innovation of this paper is different from most of the theoretical research,but the case analysis method,event analysis method and other methods are used to analyze the performance of the listed company.It is hoped that the conclusions and suggestions summarized in this case can provide a useful reference for other listed companies to choose financing.