Analysis On The Short-term Financial Effect Of Assets-injecting By Private Placements Of China's Listed Company

In this paper,we study the financial effect of Equity private placement asset injection with the example of Kunming Pharmaceutical group's Equity private placement.This paper reviews the domestic and foreign research on the Equity private placement and distribution system,through the analysis of theory and system,we found that in China's current distribution system and market environment,the Equity private placement assets injection is a route to success in achieving the overall market,reducing the transaction,perfecting corporate governance and improving the overall value of the.In this paper,a case study of the private equity placements of Kunming Pharmaceutical Group is made to analyze and study the short-term financial effects caused by the injection of private placement assets under the influence of reducing the related party transactions and avoiding the competition.Through the comparative analysis of the financial indicators before and after the issuance of the group,the paper studies the short-term financial effect after the injection of private placement assets.This paper found that Kunming Pharmaceutical Group to issue asset injection in directional eliminated after the parent company and the listed companies in the same industry competition between artemisinin industry sector,through the analysis of the before and after the private placement of various financial indicators and financial ratios,found financial effect in Kunming Pharmaceutical Group in the private placement of assets is negative.But the analysis can be drawn from the various indicators that the negative financial effect and business performance growth are mostly caused by the positive factors,such as the expansion of expenditure increase,so do not see the increase is of no value or negative value behavior.This paper is divided into five chapters: the first chapter is the introduction,introduces the research background,significance,purpose and structure,and the research methods and literature review.The second chapter is the related theoretical analysis,focuses on the analysis of the relevant theory about private placement and asset injection and the causes and situation of Equity private placement asset injection.The third chapter introduces the basic situation of the case,this chapter focuses on the case of Kunming Pharmaceutical group issue new shares to Hua Fang Pharmaceutical Co.,Ltd.,while Hua Fang Pharmaceutical injecting its assets into Kunming Pharmaceutical Group.It including the case background and detailed placement process,and the performance of Kunming Pharmaceutical group after private placement.The fourth chapter is the case analysis.Studies the short-term financial effect of the private equity group to reduce the related party transactions and avoid the involvement of the private sector.The fifth chapter is based on the EVA company's performance analysis on Kunming Pharmaceutical Group's private placement of assets,including the EVA method evaluation,the calculation of EVA and EVA analysis on Kunming Pharmaceutical group private equity injection of assets.The sixth chapter draws the conclusion and Put forward some suggestions and opinions on the implementation of private placement asset injection.