Study On The Implementation Effect Of G Company's Market-oriented Debt-equity Swap

Under the background of the nation's overall economic growth is slowing,non-financial companies have long relied on high leverage to run the disadvantages of the more obvious,the high debt is not only make the enterprise development more and more heavy,more potentially serious debt risk,the longer it is likely to harm the smooth running of the financial market,which hinder the healthy development of the national economy.In order to help enterprises get out of the operating difficulties,and also to better implement the national supply-side reform policy,debt-equity swap as a powerful deleveraging tool came into being again.Is different from the previous round of government-led policy debts into shares,the debt of stock market and the characteristics of rule by law is particularly outstanding,also have very big distinction on the implementation of specific way,and the domestic existing debt-for-equity research focused on the wheel more debt convertible on the macroscopic theory analysis of the case study of the marketization of the debt is convertible is lack,based on this the paper selected the first a market-oriented bonds convertible building state G company as the research object,so as to enrich the domestic bonds convertible case study.This article first systematically elaborated the domestic and foreign literature on debt-to-equity swaps,and briefly introduced the related concepts and basic theories of debt-to-equity swaps to provide theoretical support for the subsequent research.Secondly,it analyzes the basic situation and business situation of G company before debt-to-equity swap.It explains the motivations of market-oriented debt-to-equity swap from three aspects:national policy support,sluggish market environment and its own demand,and from implementing agencies,target companies,The five major aspects of the operation process,pricing strategy,and exit mechanism introduce its market-oriented debt-to-equity swap plan.Finally,focusing on the three dimensions of the change of the company's financial ratio before and after debt-to-equity swap,the company's business governance and corporate value,the G company's market-oriented debt-to-equity implementation effect was analyzed in detail,and the following four conclusions were drawn:(1)market-oriented debt-to-equity swaps can effectively reduce an enterprise 's asset-liability ratio and improve its solvency and profitability;(2)market-oriented debt-to-equity swaps have little effect on improving the company's operating capacity in the short term;(3)market-based debt-to-equity swaps Stocks can improve the business governance of the enterprise;(4)market-oriented debt-to-equity swaps can enhance the value of the enterprise.At the same time,it summarizes the experience and enlightenment of G company's market-oriented debt-to-equity swap implementation process,with a view to providing a reference for subsequent debt-to-equity swap companies.