Study On The Financing Of Enterprise Bankruptcy Reorganization

The emergence of zombie enterprises has become a difficult problem in the development of market economy.The bankruptcy reorganization system plays an important role in solving the problem of zombie enterprises.With the introduction of the provisions on the application of in the enterprise bankruptcy law of the People’s Republic of China,the bankruptcy reorganization system has once again attracted wide attention in the academic and practical circles,and the reorganization financing problem is the starting point and foothold of the bankruptcy reorganization process.Since there is no complete restructuring financing system in China at the present stage,we can learn from the DIP system of the United States and the government-led model of Japan,and make institutional arrangements for restructuring financing in combination with the actual situation in China.In addition to the introduction and conclusion,this paper is divided into four parts.The first part is the overview of enterprise bankruptcy reorganization financing,respectively elaborated the concept of bankruptcy reorganization,the concept of reorganization financing,characteristics,common mode and reorganization financing main body and its legal relations.Bankruptcy reorganization financing refers to the asset raising behavior carried out by an enterprise in order to keep the enterprise continuing to operate and realize enterprise regeneration during the reorganization.It has the characteristics of requiring the financing object to have operation value,the financing method to be mainly external,the creditors’ meeting resolution,and the specific purpose of financing.The common restructuring financing modes include restructuring loan financing,issuing bonds,equity transfer,debt-to-equity swap and asset sale.The main financing bodies involved mainly include debtors,creditors,investors and new investors.The second part introduces the legal system and evaluation of bankruptcy reorganization financing of American and Japanese enterprises.DIP financing is the most distinctive system in bankruptcy reorganization in the United States.In this system,the court does not designate a bankruptcy representative.It is a reorganization financing mode in which the Debtor obtains external property for financing.This model relies largely on mature capital markets.Japanese government leading the way of reforming the financing source of funds is mainly to provide credit guarantee by the government,agency for loans,public and private fusion together,by the need to be in support of business consulting,enterprise assets appraisal to its business accounting,help enterprise restructuring plan together,Japan’s leading model can save the market failure.The third part introduces the status quo and existing problems of enterprise bankruptcy reorganization financing.At present,the financing mode of reorganization of enterprises in China is mainly the capital accumulation fund to increase shares.In the process of reorganization,there is a high dependence on reorganization investors,which is frequently seen in listed companies.It reflects that there are some problems in the financing process of restructuring in China,such as the single financing means of restructuring enterprises,the difficulty in maintaining the interests of restructuring investors,the insufficient industrial value of restructuring enterprises and the difficulty in attracting investors.The fourth part introduces the Suggestions to improve the financing system.To improve enterprise bankruptcy reorganization financing to enrich the bankruptcy reorganization financing methods in China,in legislation to clarify a variety of financing methods and improve the supporting securities legal system.Focus on protecting the interests of restructuring investors,clarify the priority of restructuring investors’ security rights,protect the interest income of restructuring investors and give restructuring investors appropriate control rights.Enterprises themselves should pay attention to the operating value,improve the financing capacity.We should give play to the role of the government and the courts and establish a mechanism for "linkage between government and courts".It is necessary to strengthen the supervision of bankruptcy reorganization financing to make the bankruptcy reorganization financing system more standardized.