The Investment Value Analysis Of Equity Private Placement In China "New Three Board" Market

After NEEQ was extended to the whole country in 2014, the listed companies in NEEQ increased rapidly. Equity private placement as the most commonly used financing means has kept prosper. Investors continuously chased those companies which have solid industry foundations and growth potentials. However, the feverish market cannot conceal the system imperfection of NEEQ. The liquidity lack of the new three board market is boosting the exit risk of venture capital. So equity investment institutions should adhere to the "value investment" philosophy, achieving the investment profits from promotion of enterprise's business performance.Based on this background, the author did some investigations and researches in the practical project. From December in 2015 to January in 2016, the author worked as an intern in a state-owned equity institutions. The company where the author worked was preparing to invest in the PN equity private placement project. In this process, the author got some first-hand information. The author conducts a more comprehensive analysis on the PN project starting from the perspective of state-owned equity investors. In this article, the author analyze industry, business, finance, risk and return of the project. Based on these analysis, the author provide some suggestions to investors.This paper is divided into five parts:the first part is the introduction. It includes research background and its significance, research review, research methods and logic structure; the second part is the new three board market analysis. It mainly introduces the NEEQ character, the market's current situation and prospects for the future of the equity private placement in NEEQ; the third part is the project investment background. It mainly introduces the basic situation of PN Company and the general information of Pilot Corporation, the operation process of private equity investment; the fourth part is the analysis of the investment project. It includes industry analysis, business analysis, finance analysis, risk analysis and profit analysis; the last part is the conclusion. After all the above analysis, the author summarizes the conclusion.The author hopes to attain the following purposes from this article:firstly, to provide a reasonable method to assess the listed company's investment value in the new three board; secondly, to guide investors pay more attention to the new three board listed company, actively participate in the equity private placement project; finally, to introduce some concerns about state-owned shares transfer when the state-owned enterprises participate in PE investment.