Research On The Impact Of Controlling Shareholder’s Shareholding Pledge On Corporate Value

In recent years,due to its low financing threshold,simple and convenient operation and limited restrictions,the equity pledge has quickly become a preferred financing method for listed companies,especially controlling shareholders.By the end of 2018,the equity pledge companies in the A-share market accounted for99.52%.However,behind the rapid development of equity pledge,a large number of high-value pledge listed companies have heard of “pick” color change at the same time,while the risk of control translocation caused by pledge financing has increased significantly,which will undoubtedly cause the value of listed companies.Negative impact.Therefore,this paper is devoted to studying the impact of controlling shareholder pledge on the company’s value,which has far-reaching significance for the effective management of listed companies and the sustainable development of the capital market.This paper uses a combination of theory and case analysis to study the impact of equity pledge on company value.Firstly,the literature on the theory of equity pledge is reviewed and reviewed.Secondly,based on the principal-agent theory,the author analyzes the path of the controlling shareholder’s equity pledge on the company’s value.On this basis,the representative of the controlling shareholder is pledged with a high proportion.As a case study of this paper,Lion Technology analyzes themotivation of its controlling shareholder’s high-frequency large-scale equity pledge;analyzes the degree of separation of the two rights before and after the pledge of the company’s equity pledge based on the separation of the two powers,and analyzes the equity based on the market value management path using the event research method.Short-term market reaction before and after pledge;based on the investment strategy path,analyzes the investment risk preference of the company’s equity pledge,and then analyzes how the equity pledge affects the company’s value;finally,using Tobin’s Q value,Z-score scoring warning and traditional financial analysis methods Quantitatively measure company value.The study found that: First,the controlling shareholder’s equity pledge will aggravate the separation of the two powers of the company and strengthen the encroachment effect,reducing the company’s value;second,the controlling shareholder’s equity pledge behavior will cause the company’s stock price to fall,which will have a negative impact on the company’s value;Third,the controlling shareholder equity pledge will change the investment risk preference of the enterprise,which in turn will affect the business performance of the enterprise.On the contrary,the financial status of the enterprise will also affect the controlling shareholder’s equity pledge behavior.In view of the equity pledge behavior of the controlling shareholder of the company,this paper puts forward relevant suggestions:establish a sound equity balance mechanism and improve the independent director mechanism in internal governance,improve the transparency of information disclosure and strengthen the quality of the company in external supervision.Review of the assessment.