Empirical Research On Influencing Factors Of Private Placement Price In A-share Market Of China

Private placement in China’s late development, in 2006 promulgated the "listing Corporation securities issuance and management measures", the Ordinance listed equity refinancing of several common patterns, and the private placement is covered. Subsequently, the private placement by virtue of its application procedure is uncomplicated, shorter audit time and other advantages to today has become the main means of re financing listing Corporation in China and the first way. According to statistics, China’s private placement of the listing Corporation when the price compared with the prevailing market price, there is a significant discount phenomenon, the highest price discount rate even more than 80%. Discount too much actually is a kind of unfair price, which makes the opportunity to participate in the private placement becomes tight, and even evolve into a tool of rent-seeking.The calendar year of directional discount rate research literature from home and abroad in view of the, a general analysis of may have an influence on the rate of discount factors, main effect factors of using directional placement in the past two years the latest statistical data as the sample, through multiple linear regression method of in recent years, our country City company directed additional factors affecting the rate of discount pricing empirical research, mining many possibilities for the contributing factors, to confirm the contribution of various factors to affect prices, and analyze the effect mechanism. The results show that:the big shareholders and related to buy than the major, directed to issue stock price discount is high, subscribe for the assets of the private placement discount rate was significantly higher, the company’s debt level and operation level high, discount prices lower; and company’s overall size, ownership concentrated degree, the company’s profitability and growth ability and for variable discount rate between undetected significant impact on the relationship.One innovation of this essay is the analysis of related factors of private placement pricing discount rate of comprehensive and specific. The existing literature on the impact factors of and summary on the influence factors of lack of comprehensive, rigorous, all are drawn from the research conclusions inconsistent, so the pricing of some abnormal phenomenon is not to powerful explanation. This essay aims at the investigation on the factors influencing the price, from the company itself, two from the perspective of additional features, analyzed and summarized 9 factors which may influence the price of private placement. The second innovation is based on the listing Corporation’s earnings, operation, debt and growth of the angles of the corresponding representative indicators of financial indicators, the company comprehensively into the influencing factors system.