Study On Announcement Effects And Its Influencing Factors Of Listed Companies’ Corporate Bonds In China

The China Securities Regulatory Commission promulgated corporate bondissuance pilot approach on August14.2007, which opened the prelude to China’scorporate bond issuance. Compared to abundant theoretical and empirical research, thestudy on announcement effects of listed companies’ corporate bonds is still rare.This paper takes the133sample firms that issued corporate bonds from August14.2007to December31.2011and examines whether the issuance of corporate bondsbrings announcement effects to company by event study. The results show that, in theevent window we considered, corporate bonds offering has a negative impact on stockprice of the company. However, if taking the announcement date as a dividing point,before the announcement date the cumulative abnormal returns is positive, while afterthe announcement date it is negative. And then, the author has synthesized theindependent variables in related literature at home and abroad and establishescross-sectional multiple regression. The regression results show that the stockcumulative abnormal returns is positively correlated to rating, asset-liability ratio andrate of return on common stockholders’ equity, and the correlation with company scale,firm’s age, maturity, market capitalization and total assets ratio, the fixed assets ratioand relative issue scale of bonds is not significant.