Risk Analysis Of “Listed Companies+PE” Mode Of Buyout Funds

From November 2012 to December 2013,China's capital market IPO stop for more than a year,mergers and acquisitions on behalf of the IPO as a private equity fund(Private Equity,PE)the best exit channel.At the same time,with Blackstone Capital,KKR as the representative of the overseas large-scale PE into the Chinese market,a short time to carry out large-scale mergers and acquisitions,earn high returns.Under the common stimulation of many factors,M & A fund began to become the darling of the capital market.In recent years,the national policy-making efforts to adjust the industrial structure,and promote the digestion of excess capacity,the financial market can be associated with limited types of financial instruments,professional managers market is not yet mature.In this living environment,the foreign PE-oriented M & A fund model is not fully applicable to the Chinese domestic market environment,but gave birth to a new type of mergers and acquisitions fund-"PE + listed companies" model of M & A Fund.In 2011,the listed company Dakang Animal Husbandry and PE Paradise Silicon Valley jointly set up China's first "listed company + PE" model of mergers and acquisitions fund-Changsha Paradise Silicon Valley Da Kang equity investment partnership(hereinafter referred to as "paradise").In October 2015,a subsidiary of Silicon Valley Paradise,a subsidiary of equity suits Dakang animal husbandry,declared the first case of "listed companies + PE" mode of mergers and acquisitions fund a crisis of cooperation.Although the two sides reached a settlement did not resort to the court,but is in the future or the intention to set up similar M & A funds listed companies and PE sounded the alarm,but also let people see this model of mergers and acquisitions under the hidden look of the fund hidden Of the huge risk.This paper first introduces the background and significance of the topic selection,research ideas,the development of China's M & A Fund and risk management research and made a systematic summary of the existing research results are reviewed.Secondly,it elaborates three theories related to this study,namely,the theory of synergistic effect,principal-agent theory and risk management theory,which is used as the theoretical analysis tool.After that,this paper introduces the establishment background and the main three models of the M & A fund in China.On this basis,it introduces the establishment motive,operation mode and the main risk points of the M & A fund of "listed company + PE" mode,The "listed companies + PE" mode of mergers and acquisitions fund risk management proposition.Thirdly,on the basis of introducing the motive and operation model,this paper analyzes the risks and reasons in the operation process of the Paradise Dakang Fund as a typical case.The study finds that the typical risks of M & A funds include the ambiguity of the listed companies and PE,the imperfect profit model design,unclear management rights and responsibilities,the single project exit channel and the lag of legal supervision.On the basis of the study,this paper puts forward the multi-channel mitigation principal-agent problem,scientifically designs the fund structure,clarifies the follow-up management responsibility,enriches the exit channel of the fund and perfects the risk prevention suggestion of the private fund supervision system.The future research direction is forecasted.