Listed Companies’voluntary Information Disclosure Strategy And Its Wealth Redistribution Effect

Non-public Issuance of Shares has become the main refinancing way of listed companies since 2006 and many empirical studies have shown that large shareholders can take advantage of the Non-public Issuance of Shares to achieve the transfer of wealth. The Research on the information disclosure strategies of Controlling Shareholders will help us to understand their motivations and improve the protection of the laws and regulations of China’s small and medium investors, and it will have an important significance for creating a fair and equitable capital market environment.By building a model of voluntary information disclosure for the controlling shareholder as decision-making body, this paper tries to analyze the voluntary information disclosure policy of the controlling shareholder in the process of Non-public Issuance of Shares, and analyze the effect of the wealth redistribution.The model analysis shows that when the proportion subscribed in the new issues by the controlling shareholder is less than the proportion of it in the original shares, the controlling shareholder will hide the "bad news" so that the new shares fetch a higher price, and the new shareholders’ wealth will transfer to the controlling shareholder and the original shareholders; when the proportion subscribed in the new issues by the controlling shareholder is more than the proportion of it in the original shares, the controlling shareholder will hide the "good news" so that the new shares sell at a lower price, and the original shareholders ’wealth will transfer to the controlling shareholder and the new shareholders.