Research On Optimization Of Ownership Structure Based On Enterprise Value With Venture Capital Participation

Ownership structure is the main content of corporate governance,which reflects the enterprise’s profit distribution mechanism,organizational structure,value creation and distribution behavior,and it directly affects the value of the enterprise.With the opening of the GEM board in 2009,venture capital plays an important role in the GEM market,it not only provides equity investment for enterprises,but also provides value-added services for enterprises in order to obtain high returns.Venture capital inevitably dilutes the major shareholders’ equity as a shareholder,to some extent,and changes the ownership structure of enterprises.Majority of GEM listed companies are family owned,whose ownership is highly concentrated,the proportion of executive shareholding is high,coupled with the participation of venture capital,so the ownership structure is generally more complex.Firstly,this paper reviews the relevant literatures about venture capital,ownership structure and enterprise value,analyzes the influencing mechanism of venture capital on ownership structure and enterprise value,and the influences of ownership structure on enterprise value.Secondly,the paper constructs a three party game model with the participation of venture capital.On the basis of game theory,the paper analyzes the optimization of ownership structure.The panel data of the listed companies in GEM of Shenzhen Stock Exchange from 2010 to 2015 are taken as the research object,and principal component analysis method and econometric model are used.The paper studies the impact of the distribution of ownership structure on the enterprise value with venture capital participation and the optimization of ownership structure based on the enterprise value maximization.On the basis of empirical analysis,the paper puts forward optimization ways of ownership structure with venture capital participation.The empirical results show that:(i)Enterprise value increases first and then decreases with the increase of the proportion of the largest shareholder,and the relationship between the degree of ownership concentration and enterprise value is similar;(ii)With venture capital’s participation in the company,the checks and balance of venture capital force inhibits the occupation effect of controlling shareholder,and the degree of ownership check and balance is positively related to enterprise value;(iii)Venture capital stock share and enterprise value is an inverted U curve;(iv)When the holding of the first largest shareholder is 30.6%,the holding of the top five shareholders is 58.9%,the holding of the top ten shareholders is 72.9%,and the holding of venture capital is 24.9%,enterprise value reaches the maximum.