Research On Equity Refinancing Efficiency Of Private Listed Companies In China

The Listed Company’s Seasoned Equity has always been the focus of people’sattention. It is also the hot spot of domestic research in recent years. Initial PublicOffering has been shut down for a whole year since Zhejiang Shibao listed on the smalland medium-sized plate of A stock market November2,2012. The suspension of InitialPublic Offering leads to the largest scale of SEO and M&A.The performance ofseasoned equity offerings is not good in general situation of China’s listingcorporations. Many companies’stock price fell and performance drops after refinancing.This paper only choose private listing corporation as the object of study to makethe research more objective since China’s state-owned listing corporations’ performanceis twisted by non market factors cause of management policy and ownership structure.64private listing corporations which refinancing in2012are selected as samples. Thepaper uses the method of data envelopment analysis to test the efficiency of refinancing.We choose the certain input and output indicators cause the low level of correlation. Theresearch results show that only21.81%of the private listed are DEA effective. The DEAinvalid decision making unit is improved by using the projection analysis at the end inhoping for improving financing efficiency of private listing Corporation and providingfurther opinions to future research.