Research On The Application Of Gambling Agreement In Private Equity

A large number of private equity fands in various ways with the development of our financial market reform and opening-up and sustained and rapid economic growth in China's financial market,promoting the development of China's domestic private equity investment through investment,and make our enterprises reaped huge profits.Private equity investment can solve the difficult problem of corporate finance,and can bring high returns for investors,however,in order to further control the principal-agent problem and has obvious information is not the same problem in private equity investment,"agreement on gambling" in suchpremise asked with a private equity financing agreement the company signed with the private equity investment.In this regard,there are some successful cases,such as the bet agreement between Morgan Stanley and Mengniu Dairy,and then become the second largest Chinese dairy business.2005 years Yongle electrical appliances Chinese dairy products turnover of second large private institutions also and Morgan Stanley signed an agreement on gambling,but was ultimately defeated in 2006 by Gome wholly acquired.The two companies involved in the agreement on gambling in China the application of the history of the agreement on gambling has milepost type.In our country,The corresponding gambling agreement also exists objectively.However,some of them are worrying about gambling results,which stems from many enterprises' need for private equity financing to some extent.The case study method and comparative analysis method used in this paper,from Mengniu and Yongle electrical appliances the two high representative of the agreement on gambling case as a starting point,in accordance with the signed agreement on gambling process stages were compared,summed up China's private equity financing companies bet on success and failure experience,It also provides corresponding countermeasures and suggestions for private equity financing in the future.The structure of this paper can be divided into the following five parts: the first part is introduction.Including the research background,innovation and deficiencies of these four aspects? the second part,overview and theoretical basis.Package Including private equity,related concepts and theories of the agreement on gambling gambling agreement;the third part,case introduction.This part includes the basic situation of the gambling between the two sides,the two sides signed the agreement on gambling and the main contents of these two aspects;the fourth part,comparative analysis.This part includes the motivation of the gambling agreement capital operation,process,summarize the four aspects of gambling results and experience;The fifth part,countermeasure and suggestion.To provide corresponding advice for enterprises that need private equity financing by stages,so as to provide reference for other enterprises to sign gambling agreements.