Risks And Countermeasures Of Pledge Of Stock Rights

In recent years,pledge of stock rights has become a popular financing behavior because of its flexible and convenient financing characteristics.pledge of stock rights as a new financing channels so that the financing problems of enterprises have been resolved,but at the same time this kind of financing behavior exists a certain risk.The company’s major shareholders to take pledge of stock rights behavior,once the sharp decline in the company’s share price,will lead to equity participation in the financing of large shareholders pledged stock price approaching or even hit the early warning line,if the pledged stock was closed,then the final will lead to quality shareholders’ holdings are risking.Therefore,it is of theoretical significance to analyze the risk of pledge of stock rights and the risk response of the major shareholders,not only to the research on the financing risk of the pledge of stock rights interest of the listed companies.Based on the research on the impact of pledge of stock rights both at home and abroad,this paper summarizes the financing risk of the large shareholder of the pledged equity on the basis of combing and analyzing the relevant theoretical literature on the risk of pledge of stock rights.Through the case study on the pledge of stock rights of Huaren Pharmaceutical Company,the largest shareholder of the Company,Huaren Century Group,has accumulated99% of its shareholding in 2015,and a large proportion of equity pledges have increased the majority shareholder Financing risk.By the 2015 stock market crash,Huaren Pharmaceutical shares fell,the majority stake in the pledged equity loss of the risk of loss.Therefore,by studying the risk of frequent stockpiling of Huaren Pharmaceutical major shareholders and the effectiveness of large shareholders’ response to risk measures,we hope that the major shareholders can attach great importance to pledge of stock rights.This article to Huaren Pharmaceutical 2011-2015 data for support,Through the use of literature research,case analysis,comparative analysis,On the Huaren Pharmaceutical equity pledge on the major shareholders of the risks and response to risk measures in-depth study.The results of this study show that a large proportion of large shareholders pledge of stock rights will highlight the risk of collateralized equity,exacerbate the market risk caused by stock price volatility,and increase the risk of collateralization of large shareholders.And Haren Pharmaceutical through additional pledge to deal with the risk of open positions,the use of re-pledging operation to maintain control,the use of stock suspension to deal withmarket risks,the final large shareholders to lift the pledge.In this paper,pledge of stock rights is not only adapted to the current financing needs of the enterprise,but also retains the ownership structure of the enterprise,guarantees the holding position of the major shareholders,and promptly deals with the risk of pledge of stock rights.But the major shareholders still need to raise the equity financing risk awareness,reduce the proportion of equity,thereby reducing the pledge of stock rights to their own financing risks.