A Research On Transfer Of Benefits Of Large Shareholders Based On Private Placement

After the completion of the equity division reform in 2006,Private placement developed rapidly with the advantages of the less restrictive conditions and low threshold in the capital market of our country.After only ten years,it has become the preferred way for listed companies to refinance.But,because the private placement system of our country is not perfect,and the phenomenon of equity concentration in the company is very common,Private placement has become a "double-edged sword",and most of the time it becomes the tools of big shareholders to transmit interests,resulting in the interests of minority shareholders and other investors have been infringed,but also detrimental to the company's long-term development.Therefore,to study the problem of interest transmission in private placement and analyze the means and the consequences of big shareholders to transmit interests is of great significance for protecting the interests of other investors and promoting the healthy development of the companies.This paper is based on the theory of private placement and benefit delivery,taking Elite Pharmaceuticals for example to analyze the problem of benefit delivery.The results show that:In the process of private placement of Elite Pharmaceuticals does exist the situation of the interests of transportation by the major shareholders,and the delivery methods including the choice of low-cost basis for the issue date,high-discount distribution,high cash dividends after the private placement and equity pledge to obtain benefit and so on.These interests transmission problems seriously damage the interests of other investors,and hit their confidence in the market.Finally,this paper analyzes the reasons of the benefits distribution in the private placement of China,combined with the essence of the case of pharmaceutical,and then put forward relevant Suggestions from aspects of limit investment ways,improve the system of assets evaluation,improve the pricing mechanism and perfect the information disclosure system of raise funds usage,to improve the interests of small and medium investors against the problem.