Research On The Development Of Private Equity Focus On Mining Sector In China

Mining sector is the basis of the country's economic development. The development of mining sector is important for resource security and energy security for a country. One of the most important elements constraining the development of the mining industry is lacking investment. To solve the financing of mining enterprises is a important problem.The first part of this paper carries out an analysis on financing Theory and capital market theory. We fund Private equity financing is the important forms of financing in mining enterprises in the west. However, private equity financing have not been commonly used in Chinese mining enterprises. In the second part, we give a further analysis on the Private equity funds and its development. We conclude investment from Private equity y will benefit mining sector.In the third part, we analyze the financing of mining enterprises in china. And give some conclusion. It's an appropriate choice for china to encourage Private equity funds to invest in mining sector.In the fourth part, we talk about the feasibility of developing Private equity fund which focus on the mining sector. It's a chance for Private equity to develop in china.In the fifth part, we proposed mining enterprises should draw investment from Private equity; we should establishment of national and regional mining industry fund, developing Private equity funds which focus on the mining sector. Encourage mining enterprises to finance through Private equity fund.