Empirical Study On The Impact Of Equity Pledge And Equity Structure On Corporate Performance

As an innovative financing tool,equity pledge is favored by the capital market because it can help listed companies convert economic stock into flow in a convenient and quick way and broaden the financing channels of companies.However,the risks caused by equity pledge while providing financing convenience for the company are also widely concerned by the market and academic circles.By combing through relevant literatures,it is found that the studies on equity pledge in existing literatures mainly focus on the case analysis of a single company and the overall market analysis,and there is a lack of targeted studies on gem and sme listed companies with active financing demand and difficult financing access.Based on the principal-agent theory and the theory of transfer of control rights,this paper takes the listed companies on China's small and medium-sized board and gem board as samples,selects the panel data from 2014 to 2017,and studies the impact of equity pledge behavior and equity structure on corporate performance of listed companies with the combination of theoretical research and empirical research.The empirical results show that:(1)The company's shareholder pledge behavior has a significant negative effect on the performance of listed companies;(2)To further distinguish the nature of equity,the proportion of equity pledge of state-owned listed companies is far lower than that of non-state-owned enterprises,and the equity pledge behavior of non-state-owned enterprise shareholders has a more obvious negative effect on corporate performance,while the negative effect of state-owned enterprise shareholders' equity pledge on corporate performance is not significant.(3)The concentration of ownership has a positive impact on the performance of small and medium-sized listed companies,and the increase in the shareholding ratio of the largest shareholder can weaken the negative effect of equity pledge on the company's performance within a certain scope;The effect of equity pledge on the company's performance is not obvious.This study believes that when shareholders are in a relatively controlling position,because the control of the company is not stable,after the equity pledge,based on the maintenance control,it will be more active than the absolute holding and lower controlling shareholders.Risk avoidance and corporate governance have a positive impact on company performance.