The Impact Of Green Bond Issuance On Corporate Value

Against the backdrop of "carbon peaking and carbon neutrality," the achievement of lowcarbon transformation in the economy is inseparable from financial support.Green projects have the characteristics of long investment horizons,difficulty in financing,and strong public welfare,which traditional finance cannot adapt to.Therefore,the development of green finance to meet the huge gap in green funding needs has become a key focus.The impact of green bonds on company value not only concerns the development of the green bond market but also whether a virtuous cycle can be formed between green finance and the green economy.Whether it can bring economic benefits in green transformation is the core issue that green bond issuers are concerned about.This article focuses on studying the impact of green bond issuance on company value.Since the release of the green bond issuance guidelines by the People’s Bank of China and the National Development and Reform Commission in 2015,the number of green bond issuances explosively increased in 2016.To study the dynamic impact of green bond issuances,this article selected listed companies that issued green bonds between 2016 and 2018 as the treatment group and placed listed companies in the same industry as the treatment group that had not issued green bonds in the control group.The study used a multi-period DID model to explore whether there were significant differences in the changes in company value before and after the issuance of green bonds between the treatment and control groups.After verifying that there was a common trend in the changes in company value before green bond issuances in the treatment and control groups,the study used the method of replacing the explained variable,lagging the explanatory variable by one period,and performing a placebo test to conduct a robustness test on the basic regression.To analyze the principles of the impact of green bond issuances on company value,this study considered two important factors,resource effects and supervisory effects,and analyzed the regulatory effect of environmental information disclosure quality when exploring the specific paths of the impact mechanism.The following conclusions have been drawn through theoretical analysis and empirical research:Firstly,the issuance of green bonds by listed companies significantly enhances their company value,and the promoting effect has dynamic sustainability.Secondly,since the issuance of green bonds can broaden financing channels and alleviate information asymmetry problems,listed companies can increase their company value by promoting green innovation levels after issuing green bonds.Thirdly,since the issuance of green bonds sends a relatively unique "green" signal to the outside world,it can help companies obtain more development and financing opportunities,and listed companies can increase their company value by increasing the proportion of institutional investors’ holdings after issuing green bonds.Fourth,improving the quality of environmental information disclosure has a positive regulatory effect on the relationship between the issuance of green bonds and company value.The better the quality of environmental information disclosure,the higher the company value.Fifthly,in the heterogeneity analysis,the issuance of green bonds by state-owned enterprises and heavily polluting enterprises has a significant promoting effect on their company value.Based on the above research conclusions,the following three suggestions are proposed:Firstly,the government should increase tax reduction and exemption policies and provide incentives to encourage enterprises to issue green bonds actively.Secondly,enterprises should improve the quality of environmental information disclosure and enhance the level of green innovation.while conveying green signals and value investment signals,promoting green transformation and upgrading.Thirdly,investors should take social responsibility,balance the dual goals of social and financial performance,and consider social and environmental benefits while pursuing financial returns.