The Research On The Relationship Between Seasoned Equity Offerings And Operating Performance Of Financial Listed Companies In China

The financial industry is the special industry of operating monetary funds.In the process of continuous reform and development,finance needs maintaining sound operation and supporting the state entity economy.At the same time,The financial industry have to prevent and control the various risks,and meet the capital supervision requirements.The seasoned equity offering is the only channel of supplementing core capital of finance,so,the study the changes of the performance of the financial listed companies after SEO and its influencing factors are significant for the development and reform of the financial industry.The paper comprehensively reviews the relevant literature.Then,combing the relevant theoretical theory,from the perspective of capital structure changes,ownership structure changes and the scale of SEO,theoretically analyzing the influence on the performance changes after SEO.Then,it analyzes SEO current situation of China’s financial listed companies and summarizes the particularity of it’s SEO.And selecting the sharing placements or offering of the financial listed companies as a sample between 1998 and 2014,using the ROE which is adjusted by industry cycle as the performance indicator,and taking the industry average as a control,analyzing the performance changes situation of China’s financial listed companies after SEO.After that,assuming the changes of adjusted performance after SEO as explained variable;The company’s asset-liability ratio changes before and after refinancing,the changes of the proportion of company’s largest shareholder and refinancing relative scale are the explanatory variables,and from the degree of equity checks,the way of SEO,corporate scale and growth to select control variables.Then using the multiple regression analysis method to analyze the influencing factors of the company’s operating performance after SEO.Through the study,the conclusion is as follows:(1)The main equity refinancing motive of financial listed companies is to deal with the capital constraints of the regulatory body,and increasing the core capital,supplementing the working capital,which is a difference with the general enterprise’ SEO.(2)Taking the average level of financial industry performance as a control sample,the operating performance of the financial listed companies and the industry average before SEO is no significant difference,while comparing to the the industry average level,the company’s operating performance has a significant decline.In addition,the industry-adjusted △AROE conducted a significant test on the decline before and after financing,and found that there was a significant difference in the operating performance between the year and after two years compared with the previous year.Therefore,its operating performance of China’s financial listed companies after the re-financing does decline.(3)The increase in the concentration of equity in the financial listed companies can significantly improve the operating performance of the Company after the SEO,and the higher the level of equity balance before the refinancing,the more favorable the improvement of the Company’s operating performance.The relative scale of refinancing and the company’s growth before SEO is higher,the company’s performance after the SEO is more likely to decline.The change of asset-liability ratio and the company’s scale before SEO do not have any significant effect on the change of operating performance after SEO.Finally,based on the conclusion of this paper,the relevant enlightenment is given.