China's Listed Companies Refinancing Costs Empirical Research

In this paper, the cost of equity re-financing is limited to the three traditional forms of equity financing refinancing costs, which is additional, placement of shares and convertible debt financing costs. The main purpose of the study is for listed companies refinancing equity financing costs on a more precise understanding; On the other hand, to provide a new method of cost analysis for investors to participate in additional, allotment and purchase of subscription of convertible bonds . In addition, more important, for the existence of our country's securities market is currently about the cost of providing a theoretical question of corroboration.In this paper, the cost of equity financing of existing econometric model to analyze on the basis of comparison for the actual situation of our country to build equity in this article the cost of re-financing model. At stake in the measurement of refinancing costs, and the allotment of the additional use of market value / net profit ratio model and the additional allotment of this article the measurement model; and for the measurement of convertible bonds convertible bonds which will be the financing cost is divided into two parts .The first part is the cost of claims; the sencond part is the cost of options. Part of the cost of claims for the use of discounted present value of the measurement model, options for part of the cost of measurement is used convertible bonds listed on the first day of the part over the issue price as part of the value of options, this option is the market value of investment Recognition agreed minimum value of the options, so this option just to illustrate the value of investors want to be the minimum level of return. Through the measurement it shows that convertible bonds of listed companies financing the cost of the highest, followed by placement of shares of the financing costs, minimize the cost of additional financing, indicating additional shares of listed companies is refinancing the cost of the most select. In addition, this paper results on the measurement of logical reasoning, to draw additional listed companies and the placement of shares at high prices. Finally, by using of additional, placement of shares and convertible bonds measurement results, we set up a linear regression analysis model to identify the impact of the cost of equity to refinance the main factors, after regression analysis,βcoefficient, financial risk (debt-asset ratio) net capital gains rate mainly impact on the cost of equity refinancing.