Research On The CVC Capital Tunneled Zhuhai Zhongfu Industrial CO.LTD

With the development of emerging capital markets,China has become one of the largest investments in international private equity funds.Goldman acquired Shineway group,merger and acquisition between the Newbridge Securities and the deep development,CVC Capital holdings Zhuhai Zhongfu Industrial CO.LTD,and other private equity fund mergers and acquisitions have been caused widespread concern.However,China's private equity M & A investment is still at its preliminary stage without forming a mature regulatory system and lacking of a strong industry association to guide,and this situation leads to such a high risk of equity investment.If the private equity funds lack of risk control,once the expected return on investment,the private equity funds,as a major shareholder,have the incentive to reduce the loss of profits through the way.The imperfect environment of China's capital market legal supervision also allows private equity funds have the ability to use related party transactions and other emptiness to obtain revenue.China's "Company Law" in the restrictions on the behavior of major shareholders set up the relevant legal system,but the hollowing out of the behavior and diversity of the relevant departments of the regulatory regulations and punishments often lag behind the occurrence of hollowing out,and it is difficult to form an effective limit for large shareholders to grab the interests.Only by strengthening the awareness of risk control of private equity,and constantly improving the law and regulations of tunneling,capital market will reduce the occurrence of encroachment.This paper studies the behavior of CVC capital tunneling Zhuhai Zhongfu Industrial CO.LTD.Through the analysis of the tunneling,clearing the means by which the CVC capital gains interest.Using the method of economic added value analysis and financial index analysis,it comprehensively evaluates the negative impact of emptying on corporate performance and corporate value.Through the analysis of the tunneling,it shows that the direct influence factors of the CVC capital tunneling Zhuhai Zhongfu Industrial CO.LTD are the lack of consciousness of CVC capital risk control is not obvious;the ownership structure of the listed company is flawed;the imperfect internal and external governance of the company.Through this study,it will help the policy-making department to guide the private equity investment industry associations to develop standardized demonstration contracts,and strengthening the investment risk awareness of both sides.At the same time,it will help the regulatory authorities to improve the relevant laws and regulations to monitor and restrict the interests of major shareholders to protect the healthy development of the capital markets.