The Study On Private Equity Fund Exit Mechanism In China

The aim of progressing private equity funds in China is to make best use of their functions in expanding enterprises's financing channels, resource integration and industrial structure adjustment.But PE funds usually pursue profits in nature after the processes of fundraising,investment and exit.So the exit link is palying significant role in the whole operation of PE funds.In other words,smooth exit mechanism is necessary for the development of PE funds in the long term. However, PE funds are in the elementary stage in China,many external factors is immature enough to support their exit course.There are a lot of obstacles when PE funds choose proper exit path.The thesis can be devided into six charters.The first charter introduces the research backgrounds,purposes and the methodology concerned,then it describes the literature review from scholars in and abroad.The second charter mainly interprets PE funds theoretically.The first quarter concerns the definition of PE funds,its characteristics and operation flow.Then,it introducs exit mechanism theory including its definition,the necessity of PE funds seek to exit and the main exit paths.In the third charter,it utilizes game theory to analyse the decision in the exit way and exit timing.Chapter 3 decribes the current situation and analyses the development feature of PE funds in China on the basis of a series of data.The forth charter sumerizes the problems and obstacles about the exit mechanism. Chapter 5 of the thesis puts forward several suggestions directed at the problems and obstacles mentioned in the last charter from the government and PE perspectives.At the end of the thesis is conclusion of the research,and the writer sums up the characteristics and deficiencies of the thesis.