A Case Study O N The Tunneling Behavior By Elion Clean Energy's Controlling Shareholder Through Private Placement For Asset Acquisition

"Shareholder dominance" has always been a common feature of equity structure in Listed Companies in China.Although such a structure can motivate large shareholders to maximize their value and profits,this structural defect will lead to large shareholders' ability and profit when cash flow rights are small or control rights are separated from cash flow rights.Motivation is interest transfer.With the vigorous development of the capital market,the behavior of large shareholders controlling the listed companies and then carrying out the transfer of interests is more complicated and concealed.In this paper,Elion Clean Energy as the research object,the large shareholder Elion Group to use the listed company as a high-quality platform for the specific behavior of benefit transfer carried out in-depth and detailed analysis.Starting with the basic situation and ownership structure of Elion Clean Energy,this paper points out the hidden risks in its ownership structure,then analyzes the capital operation and financial situation of Elion group,the large shareholder,and points out its theoretical and practical motivation of utilizing listed companies to carry out benefit transmission,and then analyzes the financial data of Listed Companies in the past decade.Indicators,the company's main business for a long time under the industry average level,lack of growth,lack of highlights of performance.Finally,by sorting out and analyzing the process of acquiring the assets of the large shareholders four times,the paper reveals the various ways of transferring benefits adopted by the large shareholders in the process of issuing and purchasing the assets,which include greatly increasing the value of the purchased assets,purchasing the loss assets at a high premium,manipulating the additional issuance price,illogical dividend policy,and high proportion of distribution.Conversion,high-level reduction of low-priced shares,earnings management and a large number of cash related transactions at the expense of infringing on small and medium shareholders and then to the large shareholders of the transfer of benefits.Through the in-depth analysis of Elion Clean Energy,we can see that directional additional acquisition assets are easy to be used by large shareholders of listed companies to transfer interests.In the era of full circulation,the way of transferring interests of large shareholders is more complex and hidden.In this case,the interests of the small and medium investors are vulnerable to be infringed.This paper can enrich the research on the transfer of interests between the large shareholders at the operational level and the capital operation level,deepen the understanding of the principal-agent theory,and provide a reference for the regulatory authorities on how to further improve the relevant laws and regulations on the transfer of interests between the large shareholders and the directional additional purchase assets.At the same time,the small and medium investors are warned to pay more attention to the study of the corporate governance structure of listed companies,especially the past capital operation history of large shareholders,so as to make more rational investment.