Research On The Risk Of Equity Pledge Of Listed Companies

In recent years,with the continuous development of my country’s economy,the capital market has become more and more active,and equity pledges have also developed rapidly.However,the rapid development of equity pledges has also brought certain hidden dangers.In recent years,the liquidation incidents that have erupted in recent years and the transfer of control rights of some enterprises caused by equity pledges have brought unstable factors to the capital market.Therefore,by studying the case of equity pledge of listed companies in my country,analyzing the risks caused by equity pledge and giving relevant suggestions,it has certain significance for the development of equity pledge of Chinese enterprises.First of all,this article explains the research background and significance,and sorts out the relevant literature and theoretical basis of equity pledge.Secondly,it analyzes the theoretical risk of equity pledge and expounds the status quo of equity pledge of listed companies in my country.Third,the case analysis method is used to analyze the case of Qianjing Garden’s controlling shareholder’s equity pledge,and point out the hidden dangers of Qianjing Garden’s controlling shareholder’s equity pledge to the company.Finally,based on the conclusion of the case analysis,it is proposed how to identify and prevent the equity pledge risk of listed companies.This article draws conclusions by analyzing the case of Qianjing Garden’s controlling shareholder’s equity pledge: First,the controlling shareholder’s high-proportion equity pledge has released information about the controlling shareholder’s need for funds to the outside world,aroused investors’ suspicion about the company’s operating conditions,and led to the stock price of the listed company.Fell.Second,with the increase in the proportion of controlling shareholders’ equity pledges,the degree of separation between controlling shareholders’ control rights and cash flow rights has deepened,and the controlling shareholders’ rights,responsibilities and interests are unbalanced,causing the controlling shareholders to make improper business decisions and occupy the company’s non-operating funds.Third,with the decline of the company’s stock price,the controlling shareholder’s pledged equity is facing liquidation,which may cause a passive transfer of control of the company.If the company’s operating conditions are not good and the future development prospects are not good,the controlling shareholder also has the motivation to actively transfer control of the company.Fourth,under the situation where there is a risk of transfer of control of Qianjing Garden,the company’s management personnel may be frequently replaced,and the internal people of the company are unstable,which leads to the deterioration of the company’s operating conditions.Finally,this article proposes how to identify equity pledge risks from three aspects: the percentage change and disclosure of equity pledges,the operating conditions of listed companies,and the decline in the stock prices of listed companies,and from strengthening the supervision and disclosure of equity pledges of listed companies,and restricting the high proportion of controlling shareholders Three aspects of equity pledge behavior and financial institutions’ strengthening of the management of controlling shareholder’s equity pledge are expected to provide some experience for companies with similar equity pledge risks.