Research On The Impact Of Private Equity Investment On The Performance Of Listed Companies On The Growth Enterprise Market

After the reform and opening up,China's economy has developed rapidly,and the nation's high-net-worth people and national wealth have increased rapidly,and it continues to maintain rapid growth.With the continuous development of the capital market,the direction of investment of high-net-worth people in our country has gradually changed.Private equity investment has become one of the important choices of high-net-worth people.Private equity investment has become more and more prominent in China's economic development and played a role in the financial system.The role of is becoming more and more important.Not only can enterprises obtain much-needed funds from private equity investment institutions,but they can also use private equity investment institutions to integrate resources and continuously improve their overall competitiveness.For private equity investment institutions,they can realise the holdings of corporate equity through mergers and acquisitions,IPOs,equity transfers,etc.,thereby obtaining high investment returns.In recent years,the country has issued a series of policies to encourage public entrepreneurship,and China 's “double innovation” activities have flourished,which has provided fertile ground for private equity investment.The number of newly established private equity institutions at home and abroad continues to increase,and the amount of private equity investment has also increased.Repeated highs.For enterprises,the increase in the number of private equity institutions has enriched their financing channels,and companies have more options when choosing private equity institutions.Therefore,choosing a private equity institution that has a positive impact on future business performance has become a real problem facing companies.This paper takes the companies listed on the Growth Enterprise Market from 2016 to 2018 as the research object,and examines the impact of private equity investment on the performance of listed companies through specific analysis and research.This article evaluates the operating performance of listed companies from four aspects: the profitability,growth capacity,and solvency of listed companies,and whether the listed companies have private equity investment,the proportion of private equity investment institutions,and the shareholding of private equity investment institutions.The length of time is used as an explanatory variable,and the size of listed companies,assets and liabilities,macroeconomic conditions,and shareholding of the top ten shareholders are used as control variables.Through empirical research,it isfound that private equity investment can effectively improve the operating performance of the invested company,and the proportion of private equity investment holdings has a positive correlation with the company's operating performance.The higher the shareholding ratio of a private equity investment institution,the institution will pay more attention to the development of the enterprise,and will also provide the necessary assistance for the development of the enterprise,thereby continuously improving the business performance of the enterprise.The empirical study also found that the private equity investment period and the company's operating performance show a negative correlation,that is to say,the longer the investment period,the company's operating performance is often not particularly ideal.According to analysis,most of the private equity investment institutions in China invest more in enterprises by providing funds and pursuing short-term gains.Therefore,the period of private equity investment and the business performance of the company also show a negative correlation.In addition,through empirical research,it is also found that the number of private equity investment institutions does not have a clear correlation with the operating performance of invested companies.Finally,this article puts forward different implementation opinions from the perspective of private equity investment institutions and enterprises,hoping to provide theoretical reference and reference for the research and practice of private equity investment to improve corporate performance in China.