Research On The Risk Of Equity Pledge Of Listed Companies Under The Background Of Deleverage: A Case Study Of Oriental Garden Co.,Ltd

In recent years,under the influence of monetary easing policy,the scale of corporate debt in China has been growing,the debt burden has been increasing,and the financial risk has increased,which has become a major issue of concern to the whole society.Therefore,since October 2016,the State Council and other regulatory bodies,such as the "One Party,Three Sessions" and other regulatory bodies,have continuously issued guidance documents,and started to actively implement the "de-leverage" policy at the national level in order to reduce the macro-leverage rate and avoid the adverse consequences of the "hard landing".The change of macro-policy will obviously have a great impact on the behavior of micro-enterprises.Therefore,this paper chooses the perspective of equity pledge.Based on the existing research results such as equity pledge and leverage ratio,this paper conducts a case study of Oriental Gardens,with a view to discussing the emergence,outbreak and resolution of equity pledge risk of listed companies under the "deleveraging" policy.Taking Dongfang Garden as an example,this paper finds that the equity pledge rate of private listed companies increases rapidly and the risk of equity pledge increases after the introduction of the leverage reduction policy.This is because the "de-leverage" policy has an impact on the financing mode choice of private listed companies by influencing stock price,mortgage rate,credit financing and other factors,and increases the proportion of equity pledge financing of controlling shareholders.In this case,if the company's share price falls to the early warning line or even the liquidation line because of the failure of bond issuance,performance decline and other factors,it will be required to supplement the pledge or raise funds to avoid compulsory liquidation,the equity pledge rate will be further increased,and the risk will be further accumulated.Therefore,in order to deal with the risk of equity pledge,companies should adopt diversified financing methods and reduce the ratio of assets and liabilities,on the other hand,adjust business areas and modes,optimize business structure,so as to gradually enhance the company's share price.The conclusion of this paper has certain reference value.First,the policy of deleveraging makes the pledge rate of private listed companies increase continuously;second,the shareholders of private listed companies tend to pledge their shares in order to meet the needs of low-cost financing,circumvent the restriction of limited sale period,and make up the warehouse by pledge;third shareholder's large-scale pledge of shares will lead to serious moral hazard and disposal risk.Therefore,this paper suggests that: first,listed companies should establish a reasonable internal governance mechanism to strengthen the supervision of shareholders' equity pledge behavior;second,listed companies should introduce external investors to check and balance the rights of controlling shareholders;third,regulators should improve relevant laws and regulations to strengthen the management of equity pledge market;fourth,regulators should strengthen the business management of financial institutions and reduce them.It discriminates against private enterprises in credit.