Research Of Seasoned Equity Offering Market Timing Behavior Of Listed Companies

Equity refinancing, as an important financing way for a listed company after the IPO, plays a very important role in the companies' operation and runs through the operation and development of listed companies.Although equity refinancing is an old topic, but is also a relatively new topic. Many scholars have been argued for this topic for decades. Compared with foreign mature capital market, capital market of our country is still in its infancy. Many systems are not perfect and need to improve. And investors are not rational psychological formation. So everything is not very perfect. Besides, our security market is a special market and many security activitiesare affected by the government and regulators. So many abroad study conclusions can not be accurately applied in the security market in our country. In order to reflect the actual circumstances of the securities market in our country better and more accurately. This paper, based on market timing theory of behavior finance, hopes it can better help to perfect the study of market timing behavior of equity refinancing of listed companies.This paper is based on equity refinancing of listed companies and takes listed companies from China's Shanghai and Shenzhen two cities between 2006.06 and 2015.03 as total sample. And on the basis of theoretical analysis this paper proposes assumptions from different angles and selects the relevant variables. At the same time, this paper selects small samples from the total sample based on the differences of specific assumptions. Empirically by Logistic model and multiple linear regression analysis, this paper studies market timing behaviors and motivations of equity refinancing. And combined with the empirical results, this paper puts forward the corresponding countermeasures and suggestions.According to the empirical results: when listed companies propose equity refinancing, there exists market pricing, market demand and financing policies behavior of market timing. For further research,wefound that listed companies also exist market timing behavior, but this behavior more acts as market pricing. In addition, the study also found that there was part of behaviors of government regulators. When the market is in a good trend, regulators are willing to loosen the approval of equity refinancing. And according to the empirical test, listed companies have the purposes that they want to make companies develop better and better, including of improving the company's capital structure and business performance.