The Case Study On Performance Change Of Haiyang's Private Placement

From August 2012, the NEEQ has a national pilot, and has a national expansion at the end of 2013, it has developed rapidly. At the same time, the private placement has been sought. From December 31, 2014 to November 10, 2015, the number of new listed companies is 2462, but the number of companies that have private placement business is 2299, showing that the current NEEQ private placement acclaimed.But with the influx of founds, the risk of NEEQ also increased in the private placement market. How about the result of private placement? Whether the company through a private placement to the optional allocation of resources? Whether the company used the funds obtained by private placement to improve the company's performance?This article is based on Haiyang which is listed on NEEQ in 2010 and has private placement business many times. The literature analysis and case analysis method are combined. It analyzed the change and reason of performance after Haiyang has private placement four times. First of all, it analyzed the changes of the financial performance of the private placement mainly from the profit ability, debt paying ability, operation ability, growth ability and shareholder profitability. Secondly,it concluded four possible reasons that a dominant phenomenon exists, earnings management behavior, resource allocation efficiency is low and constraint mechanism is not perfect. They resulted in Haiyang as the representative of NEEQ did not achieve the optional allocation of resources after private placement, and did not improve the performance for the company. Finally, it raised a wide range of policy proposals put forward from the perspectives of companies, investors and regulators for regulating the behavior of private placement and improving the efficiency in the use of funds.This study will help the investors rationally recognize the company's private placement and help them properly evaluate the value of the company's private placement. Meanwhile, providing a reference for the company on NEEQ to strength the use and management of founds by private placement. And it will provide a reference and practical significance for regulatory agencies to regulate the behavior of private placement and improve the quality of private placement.