Research On The Impact Of Stock Pledge Of Major Shareholders On Corporate Value Of GEM Listed Companies

GEM listed companies often encounter financing difficulties in the process of development.The stock pledge of major shareholders has become a common way of financing for listed companies because of its simple procedures and the ability to transfer risks while retaining control rights.The equity financing behavior of major shareholders has both positive and negative effects on the value of the company,so the relationship between the two has attracted much attention.The pledge ratio of the shares of major shareholders has a positive effect on the value of the company within a certain range,which can alleviate the company's capital shortage and prevent the company from missing opportunities in investment.However,when the pledge ratio exceeds a certain level,its increase will induce the emergence of moral hazard of major shareholders,and the company's value will decline accordingly.In 2018,the stock pledge business in gem was affected by the financial deleveraging policy and the frequent occurrence of pledge defaults,and the overall quality ratio of the market was reduced.This paper tries to study the relationship between the pledge behavior of major shareholders and corporate value through theory,current situation and empirical method,and tries to give some policy Suggestions on the pledge situation of GEM.The research content of this paper includes the following five parts: the first part is the introduction,which introduces the relevant research viewpoints and conclusions at home and abroad.In the second part,the theoretical analysis explains the impact of the pledge of major shareholder's equity on the company's value.The impact of the pledge proportion in different segments on the company's value is different,and the relationship between the two is different in different industries.The third part through the analysis of the status quo of research on the growth enterprise market in2014-2018 five full fiscal year 363 the major shareholders of listed companies equity pledge,learned that five years in pledge the company accounted for 25.1%,39.1%,45.7%,53.7% and 49.0%,focus on the electrical and electronic machinery and equipment,Internet information technology,medicine,biology and basic chemical fossil energy industry.The fourth part through empirical analysis research big shareholders equity pledge and the relationship between the value of the company,studies have shown that large shareholders equity pledge has influence on the value ofthe company but there are differences in the different industries,pledge ratio's influence on the value of the company is inverted U type at first and lowered later from the market overall pledge proportion exists two threshold values were 22.056%and 30.027%,respectively,at a low level range that there was a positive correlation between both in middle range both remained positive relationship but force is abate,the negative relationship exists between high level interval,The threshold effect varies across industries.The fifth part,based on the previous research,puts forward countermeasures and Suggestions,including strengthening the disclosure of major shareholders' equity pledge funds,improving the restraint mechanism of major shareholders,designing differentiated pledge loans in various industries,and broadening the financing channels of listed companies.