Research On The Issuance Of GREE Convertible Bond

Convertible bond is a kind of bond with both attributes of debt and equity.It has a long history in Europe,America and other capitalist countries.While domestic related research is not yet comprehensive.This paper studies the related research on convertible bonds at home and abroad.Taking GREE convertible bond issuing plan as an example,this paper analyzes the convertible bond in detail.First of all,from the two aspects of external economic environment and internal financing demand,this paper makes a comprehensive analysis of the motivation of GREE real estate's convertible bond financing.Then,through the detailed explanation of the issuance plan of GREE convertible bonds,we can get the issuing intention of GREE convertible bonds.Then,based on the three important event windows in the process of issuing GREE convertible bonds,(convertible bond issuing node,convertible bond highest point node,convertible bond transfer node),combined with the market performance of GREE's real estate and GREE convertible bonds,we calculate the value and option value of GREE's convertible bonds respectively through the B-S pricing formula.Then we analyze the reasons for the difference between the theoretical value and the market value of convertible bonds.Finally,based on the above analysis of GREE real estate convertible bond issuance plan,we draw the conclusion and inspiration,hoping it will provide references for similar enterprises to issue convertible bonds in the future.