Effects Of Venture Capital Syndication In The Invested Enterprise Value

Based on the2008to2011with venture capital investment and the successful IPO of366companies as samples. I did the regression analysis based on joint venture investment in the value of the invested enterprise, which focus on the weather joint and the Joint Venture Company’s characters(such as number of VC collaborators, the cumulative size of funds under management of VC, historical investment number of events of VC) as well as affecting the value of the investee company to analyze the relationship between them.The study found that joint investment will significantly reduce the financial results of the investee company after the IPO, which is reflected in the net assets of the company’s investment yield has a joint venture investment institutions were significantly lower than those without the background of the joint venture capital backed companies.The result of whether a joint investment affect investee company’s first earnings was not significant.The cumulative size of funds under management of VC and historical investment number of events of VC are not have significant effect of the investee company’s financial performance and market performance, which is delegated by ROE and FROE.