Analysis Of Financing Risk Of Equity Pledge In NEEQ

In 2006,the non-listed joint-stock company of Zhongguancun Science Park entered the agent transfer system to transfer the share price,known as the “NEEQ”.With the gradual improvement of the NEEQ,China will gradually form a multi-level capital market system including the Main Board,the Growth Enterprise Market,the OTC Counter Market and the Property Rights Market.With the rapid economic development,more and more companies have chosen to finance through equity pledges,and how to control the risk of equity pledge financing has become a matter of concern to everyone.In order to analyze the risk prevention mechanism of the equity pledge business from the perspective of the pledgee and the pledgee,this paper selected Hua Rong West Company to analyze the case of Shang Ling Animal Product Husbandry of the NEEQ listed company.The ultimate goal is to increase the efficiency of equity pledge financing and thus promote the healthy development of equity pledge financing in the New Third Board Market.The article first analyzed the current situation of equity pledge financing of listed companies in the NEEQ and the risk of equity pledge financing by sorting out the equity pledge business.The financing risks mainly include financial risk,liquidity risk,market risk,equity disposal risk,credit risk,etc.According to the risk,it explores the causes of its risks and systematically analyzes the financing risks of the listed companies and the corresponding risk prevention measures of the listed companies.At the end of the article,the following policy recommendations were put forward for the healthy and stable development of the NEEQ: Pledgee should set a reasonable proportion of pledges and a reasonable pledge rate for the pledged parties,increase their own strengths,and establish an accountability system for annual reports;the pledgee should attach importance to risk Prevention,strictly stipulating the terms of the agreement,requiring third-party notarization,dynamically monitoring the fluctuations in the value of the pledged equity,and ensuring the stable operation of the enterprise;the market should speed up the construction of a layered system,improve the multi-level capital market system,optimize the equity trading platform,and attract brokeragefinancing;The government should improve the policies,regulations,and information disclosure system,and the conditions for lending financial institutions to participate in the NEEQ.