Multiple Case Study Of IPO Prospectus Risk Information Disclosure

At present, in global capital markets, the problem of enterprise IPO prospectusdisclosure quality is a common phenomenon. Our securities market also exists the problemto improve the quality of information disclosure of the prospectus, especially informationdisclosure quality of the risk factors. It usually happens that enterprises under the conditionof the prospectus disclosure flaw can list. Media news reports about this also often appear.But domestic scholars start from a single case to analyze the information disclosureproblems of a single company. Conclusion often lacks universality.By using the Internet, this paper collects all the enterprises with the prospectus havingrisk information disclosure problems, which submit the prospectus to the CSRC fromDecember1990to December31,2011. By studying each of the sample companies, we findthat risk disclosure problems focus on the aspects of financial disclosure information,transaction risk associated information, risk information and proprietary technology toraise funds to invest. And the problems perform mainly in hiding information, disclosure ofinformation falsely and disclosure low level of detail. Then using content analysis andstatistical methods to summarize the risk of information disclosure problems commonfeature, and summing up the level of detail the risk factors section in the enterprisesprospectus disclosure. According to the results of content analysis and statistical analysis,explore the reason of the problem in the risk of disclosure of information in the prospectus.Through the study of the risk factors disclosed in the prospectus information, thispaper argues that investors should get rich sources of corporate information, and thecorporate information disclosure system should be improved. Meanwhile, the ChinaSecurities Regulatory Commission should increase law enforcement efforts, introduce ofprofessional audit prospectus mechanisms, and strengthen information disclosure strictly.The research of the problems in the prospectus risk information disclosure enriches andimproves the information disclosure system in China securities market.