Research On The Motivation And Effect Of The Private Placement Of Milkground

Since the promulgation of the "Measures for the Administration of Securities Issuance by Listed Companies" in China,targeted issuance,with its large financing amount,low issuance requirements and simple implementation process,has begun to be favored by listed companies and has gradually become the main way of equity financing in China’s capital market.Milkground has implemented a directed issue project with a total amount of RMB 3 billion,which has caused extensive discussions in the market.Based on this,this thesis examines the motivation of Milkground’s directed issuance project and the effect of its directed issuance,in order to provide the market with relevant experience reference.Shanghai Milkground Food Technology Co.,Ltd.is the only cheese-based A-share listed company in China,production and sales of dairy products,and is one of the largest cheese manufacturers in China.In this thesis,we have compiled the relevant research results of domestic and foreign experts and summarized the motives and effects of the directed issue.Taking "Milkground" as a case study,we firstly give a comprehensive introduction to its own situation,and at the same time sort out Milkground’s directed issue from the process of fixed issue,issue price,issue target and fund raising direction.Secondly,we analyzed the motivation of the issuance,mainly based on the strategic development,financial situation and financing advantages.Subsequently,the effects of Milkground’s targeted issuance are analyzed in detail in terms of market effect,financial effect and non-financial effect:through the event study method,this thesis finds that the short-term market effect of Milkground’s targeted issuance is positive,but as time lengthens,the long-term market performance of the targeted issuance is not as expected;meanwhile,with the help of various financial indicators and EVA method,this thesis finds that the Milkground’s At the same time,with the help of various financial indicators and EVA method,found that the solvency and profitability of the company were improved after the directed issue,the ability to grow has not been maintained,the operating ability was not significantly improved,and the effect of enterprise value appreciation was highlighted;through the analysis of the non-financial effect of the company,concluded that the directed issue had a positive promotion effect on the non-financial effect of Milkground.Finally,this thesis summarizes the case based on the above analysis to provide reference for the future directed issue activities of similar enterprises.