Does Private Issuing Of Hunan Dakang Pasture Farming Co.,Ltd. Improve Its Efficiency Of Allocating Resources

After the over expansion of private issuing market in China,there came the governmental restriction.As one means of SEO,private issuing of stock has always been perfered by listed companies,and its scale reached the peak in 2016.However,problems like excessive-financing and playing the market arose along.In February 2017,CSRC launched public notice claiming the alertion of the rules of PI,which eased the existing problems to some extent.Based on the backgroud,this dissertation intends to study listed companies' excessive-finance behavior via the means of PI.And the private issuing of Hunan Dakang Pasture Farming Co.,Ltd,(002505)is selected as the case of this dissertation.The main research subject of this disertation is to figure out how to identify the listed companies' behavior of excessive-financing,and its influence upon efficiency of allocating resouces.The case study on excessive-finance behavior of listed companies is still plain and superficial,which mainly concentrates on the means of financing like IPO and PI.Meanwhile,empirical study covers the most previous reseaches.There is barely a good case study targeting a certain listed company before,what's more,reseaches studying the efficiency of allocating resources are not yet sufficient enough.This disertation raised the example of Dakang Pasture Farming,studies its event of PI in four ways,delimiting the attribute of its behaviour and appraised its efficiency of allocating resources.The following ideas are discovered through studying the case.After Dakang completed its PI in 2014,it invested financial products frequently and changed the direction of use on large scales for times;some projects were suspected as not existing actually;NPV of most project turned out to be below zero;financial achievements were not satisfactory enough.Then this paper evaluated Dakang's resource allocation efficiency through studying the important issues invloved.Finally,this paper describes the influence of the problems involved and offers some suggestions.Innovation points and application significance of this article lies in the fact that:(1)a more detailed and complete case study of excessive financing of listed caompanies was shown for the first time,which studies the many problems including behavior recognition,resource allocation efficiency evaluation;(2)compared with the empiracal studies done by previous scholars,this dissertation evaluated the efficiency of allocating resources throgh only case study from a lot of impressing views.As an reference guide,this paper offers suggestions and helps to correctly take and use the means of PI as an means of financing,and so capital market could be bettered.