Empirical Study Of The Controlling Shareholder Equity Pledge Behavior Impact On The Operating Performance Of Listed Companies

Equity pledge financing is the pledger in order to obtain the appropriate capital from the financial and other institutions and their own ownership of the pledge as the subject matter of the act.If there is no default in the agreement during the pledge period,the original equity holder may recover the corresponding equity from the pledgee after the pledge has expired.Since the formal establishment of the pledge system,this kind of special pledge has been favored by all parties.It has become an effective means to finance the listed companies and alleviate the pressure of various funds,and its influence in the capital market is more and more Big.The pledge of shares has been developing rapidly,especially in recent years.In particular,the controlling shareholder has a high proportion of pledged shares,that is,once the controlling shareholder has pledged its stake,it tends to pledge or even pledge.This situation requires us to pay special attention.Is there a serious economic consequence of the risk that the controlling shareholder's equity pledge is at the same time as we fully recognize the advantages of the equity pledge?This article will be domestic Shanghai and Shenzhen between 2013 to 2015 between the A-share board listed companies as an empirical sample to start research.This paper discusses the impact of equity pledge on the performance of listed companies through descriptive statistical analysis and empirical research,and then discusses the impact of the pledge on the performance of listed companies through descriptive statistical analysis and empirical research.And analyzes the relationship between the net holding amount and the operating performance after the removal of the pledged shares by the controlling shareholder.In addition,it also adds to the cross section to examine whether the enhancement of the internal checks and balances can improve the negative impact of the controlling shareholder's equity pledge on the company's business performance.The study of equity pledge has opened up a new perspective.The main results are as follows:First,the current market share pledge frequency is frequent,there is a high proportion of the controlling shareholder pledge,and pledged funds to invest in the object of the controlling shareholder of their own business or third party phenomenon.Second,the overall view of the controlling shareholder of the equity pledge will have a certain degree of negative impact on the company's operating performance,but when the pledge of pledged funds to the classification,the funds to the controlling shareholder of their own business or third party,Motives,will lead to performance decline;and funds to be pledged to the company,out of support for the motives of listed companies,but it will bring performance improvement.Thirdly,under certain conditions,the performance of the business will increase with the increase in net holdings,which means that depriving the voting rights of the pledged equity can effectively alleviate the agency conflict.Fourth,the enhancement of internal checks and balances will help to reduce the negative impact of equity pledge on the company's operating performance,increase the proportion of the second to the tenth largest shareholders,establish appropriate equity checks and balances mechanism,help to curb the controlling shareholder with their own control The right to encroach on the interests of listed companies and other shareholders of the hollowing out,so as to improve the performance of the company's business performance.Finally,according to the research results,this paper puts forward the corresponding policy suggestions from the aspects of system level,supervision department,pledged bank and listed company governance mechanism.