Research On The Capital Structure Optimization Of The Electric Power Industry Of China

An enterprise’s development is inseparable from obtaining sufficient assets.Assets are acquired mainly by way of borrowing from the creditors and shareholders’ investments, including the bank loans,issuance of stocks and bonds.Different ways of financing will have different effects on the cost, risk and management.So how to weigh the pros and cons of the proper way of financing to determine the capital structure of the enterprises is particularly important. The ultimate significance of enterprise capital structure optimization is to realize the maximization of enterprise value.The capital structure in the development of the enterprise is influenced by the macro and the micro factors.How to choose the appropriate capital structure according to the change of environment in order to guarantee the maximum value of the enterprise is becoming an important problem in the process of corporate governance.Electric power industry is a basic energy industry,its development has a vital role in the whole country and society,and has a direct impact on the national economy and other industries.Electric power industry has its own unique features, including higher barriers of the industry,industry association,the significant scale effect and the nature of social commonweal,etc..Because of these characteristics, the capital structure of the listing corporations has some problems,including the high rate of assets liability,the structure of property right including the structure of liability and the structure of the owers’equity is not reasonable.The existence of these problems affects the electric power industry listing corporation’s market activity.In this paper, the listed companies in electric power industry are the research objects.On the base of related capital structure theory and the analysis of the related data of electric power industry capital structure,the writer try to find the specific problems existing in the capital structure,by combining with the the case of Shanghai Electric Power Company, furtherly prove the problems.In the end,according to the electric power industry’s own characteristics,puts forward reasonable countermeasures of optimization of capital structure,hoping to provide some references to the optimization of the electric power industry listed companies.