Controlling Shareholders’ Equity Pledge,Media Attention And Accounting Information Quality

Since the official release of equity pledge related policies and regulations,equity pledge financing has been widely favored by listed companies because of its simple procedure,convenient and quick characteristics.But the pledge of equity has brought a series of risks while alleviating the financing constraints of listed companies.Since the stock price fluctuation of listed companies will have a great impact on the value of the pledge,when the stock price drops to the liquidation line frequently,the controlling shareholders of equity pledge will make the stock price far away from the warning line and liquidation line through manipulation means such as whitewashing accounting information,so as to reduce the risk of insolvency and avoid the potential risk of control transfer.These behaviors seriously damage the quality standard of accounting information and aggravate the information asymmetry contradiction.Relevant data show that in 2018,about 70% of the controlling shareholders of GEM listed companies committed equity pledge,and the quality of accounting information of GEM listed companies has always been the focus of attention.Therefore,this paper takes the data of GEM listed companies from 2016 to 2021 as samples to carry out research.The quality of accounting information of the pledge company is very important to the decision-making of investors and other stakeholders,so this paper explores the impact of the pledge of controlling shareholder equity on the quality of accounting information of enterprises,in order to improve the quality of accounting information and improve the equity pledge system to provide empirical basis.In addition,the media,as a special information disseminator and processor,can play a non-legal supervisory role in the company’s behavior.Therefore,it is preliminarily assumed that the negative impact of equity pledge on the company’s information quality will be contained to a certain extent if the media keeps a high level of attention to the company.In this paper,the author firstly combed through the relevant literature on equity pledge of controlling shareholders,media attention and accounting information quality at home and abroad,and used the research methods of literature research,normative research and empirical analysis to explore the influence of equity pledge of controlling shareholders on accounting information quality and the role of media attention between them.In order to improve the quality of accounting information of listed companies to put forward some reasonable suggestions as the research objective.Secondly,by analyzing the influence mechanism between the three variables and taking this as the basis for empirical hypothesis,the financial data of GEM listed companies from 2016 to2021 is taken as the research sample to build a fixed model for the theoretical hypothesis and conduct regression analysis.Finally,the robustness test is carried out on the results of regression analysis.The empirical results show that the equity pledge of controlling shareholders is significantly negatively correlated with the quality of accounting information,and media attention can inhibit the negative correlation between the two.Meanwhile,the established model also passes the robustness test,indicating that the model is robust.Finally,combining with the results of empirical analysis,this paper proposes some suggestions on how to improve the quality of accounting information of listed companies in order to further improve the quality of accounting information of listed companies in our country.