Research On The Effect Of Financing Overseas Listed Chinese Companies

More than30years of reform and opening-up, Chinese companies shouldering thehistorical responsibility of the great revival national industry has achieved a remarkableChinese miracle after another. As the global economic integration and the internationalcapital market increasingly close, the Chinese enterprises urgently need to go out andonto the world stage, chasing worldwide resources, profits and opportunities.Enterprises listed overseas can largely reduce the cost of capital, reduce risk premium.In more developed than by domestic regulatory mechanisms of the international lawsand regulations and better capital market, the level of corporate governance can beimproved significantly. Companies listed overseas so that more investors and suppliersworldwide to understand the business increased visibility, help enterprises to expandoverseas markets opened improve business value.This paper from the macroeconomic background in China and internationaleconomic situation, established the overall train of thought in the background. Throughsummarizing the domestic and foreign about the related theory of literature, this paperfirstly the key combed the overseas listed three hypothesis theory, three motivations andlisting way, on the basis of grasping the research status and progress, extract the latestviews and research methods, and put forward some new insights. Secondly summarizedthe enterprises overseas listing process and the characteristics of the main place ofoverseas listing. Finally in front of the theory on the basis of the empirical part of thisarticle, cash flows and enterprise for significant between investment in fixed assets canbe used to reflect the enterprise the cost of equity financing difficulty. Combining thelisting of enterprise motivation and location, through descriptive statistics andregression analysis based on panel data to empirical research, through the overseaslisted out the enterprise really can reduce the cost of financing, to raise more funds.Finally according to the empirical results provide theoretical basis for further research,to guide Chinese enterprises according to their own actual situation and motivation tochoose appropriate own listed overseas listed sites, so as to maximise overseas listingof lower the cost of financing, long-term strategy to lay a good foundation for the enterprise.The innovation of this article is from the incentives to enterprises listed overseaslisted on the root problems were studied. On the basis of the listed motivation, it studiesoverseas listing can achieve the listed motivation of the enterprise. A variety ofintegrated use of research methods, combining normative analysis and empiricalanalysis were adopted. Using statistical model based on panel data analysis, investmentand net cash flow and total assets respectively division to weed out the company sizeand investment, the influence of the correlation of cash flow.