Research On The Effect Of Private Placement In Related Mergers And Acquisitions On The Level Of Enterprise Risk Takin

As China's market economy becomes more and more developed,the industrial structure accelerates adjustment and market competition intensifies,more and more companies choose mergers and acquisitions to achieve company scale expansion and value growth.At present,there are obvious characteristics of relatedness in mergers and acquisitions of listed companies in China,in which most companies pay the consideration to the counterparties through directed issuance.As an important financing method,targeted issuance is favored by the capital market because of its low cost of raising capital,less financing procedures and the ability to independently choose the issuer.2022 government work report especially emphasizes the need to stimulate market vitality and guide enterprises to dare to invest and develop.In this context,it is necessary for enterprises to take the initiative to seek development,accept the challenge of risk,seek gains in risk and constantly seek new growth points.However,compared with developed countries,many enterprises in China tend to avoid risks and are not willing to take risks,which is also detrimental to the long-term stable development of China's economy.In this context,it is necessary to investigate whether the use of targeted issuance in the process of foreign expansion can increase the willingness of enterprises to take risks.Based on the existing M?A theories,this paper analyzes the case of Poly U's affiliated M?A and investigates the impact of choosing a directed issue as a payment method in affiliated M?A on the risk-taking of listed companies through a combination of case study method and event study method.From the perspectives of equity structure,financing priority,and information transmission,this paper finds that: under the perspective of equity structure,the control of the actual controller of the enterprise is strengthened,the principal-agent problem between the controller and the management is improved,and strategic investors are introduced in the process,which enables the expansion of the social capital network of the enterprise and enhances the risk-taking of the enterprise;in the perspective of financing priority,it effectively avoids the risk of capital chain breakage,improves the capital structure of enterprises,weakens the inhibiting effect of business risks on enterprise investment decisions,and enhances enterprise risk-taking;under a signaling perspective,the "supportive" role of major shareholders is conveyed to the market,generating optimism among investors,and the media plays an external governance function,promoting greater innovation and motivating companies to take risks through non-negative news coverage.Thus,the use of targeted issuance in M?A can increase the willingness of firms to engage in risky projects and increase their risk-taking.At the same time,the increased willingness to take risks does not mean that firms have the corresponding risk-taking ability,and firms should consider their own risk-taking ability and choose appropriate risky projects while creating revenue.It is hoped that this paper will enrich the research in the related fields of targeted issuance and corporate risk-taking.