Research On The Foreign Bond Financing Of Listed Companies In China

It’s critically important to create sustainable value for enterprises that how to adopt multi-modal financing to raise funds and expand international business under the background of internationalization.macro factors such as exchange rate spread and relaxation of regulatory policies have created the best opportunity for China’s listed companies to raise overseas bonds under the background of macroeconomic downturn,increasing uncertainty in the international capital market environment.Nowadays,there has been a growing concern that an increasing number of Chinese enterprises using overseas bond financing with the expansion of international business demand.Foreign bond financing has become the core way to "bring in and go out" for Chinese enterprises.There have been studies tend to research on the macro factors,including the economic environment and regulatory environment of overseas bond financing.As the core value creator participating in globalization,Chinese listed companies comprehensively consider macro factors,medium and micro factors,take advantage of the opportunity of low interest rate of overseas bonds,meet the needs of international development of enterprises and further optimize the capital structure,It has important guiding significance for multinational corporations to improve financing efficiency and international reputation.Based on the MM theory,principal-agent theory and priority financing theory,this research comprehensively uses case analysis method and comparative analysis method to study the current situation of overseas bond financing of Chinese listed companies under the macro-new economic background,including the global economic downturn cycle,trade friction between China and US,global COVID-19 and economic policy fluctuations.This paper improves the research from the micro perspective in the field of overseas bonds of Chinese listed companies.According to the logical idea of "market overseas financing environment-current situation of overseas financing-driving factors of overseas bond issuance of case companies-risk identification of overseas bond issuance of case companies",based on the macro-economic background,making an in-depth discussion by taking overseas bond issuance process of CNPC from 2011 to 2020,the dominant oil and gas production and seller in energy oil and gas industry in China,as an example,also,it makes a comparative analysis with the current situation of foreign bond financing of Sinopec and CNOOC,the other two major oil companies in China.Further identify the potential risks in the process of overseas bond financing of CNPC through the risk model,and put forward preventive measures,so as to provide reference for overseas bond financing of Chinese enterprises.Given the analysis talked above,it would make foreign bond market in China full of new opportunities in the future with the support of regulatory policies,adding impetus to the internationalization of financing.