Analysis On Selection And Effect Of Financing Mode In CATL

The new energy automobile industry is a new type of industry that has developed rapidly in my country in recent years.It is also a sign that my country has become a powerful country in the automobile manufacturing industry,and it is also a major form of my country’s implementation of green environmental protection strategies.After 2012,my country’s auto industry aimed at the development trend of the international auto industry and adhered to the pure electric drive strategy,so that the development of new energy vehicles in China has been significantly improved in the past ten years,and it has become a mainstream auto manufacturer in the world.In recent years,China’s new energy vehicles have grown rapidly with the support of government policies,and the market demand for related industrial chains has also increased rapidly.Among them,power batteries,as the driving force of vehicles,have become one of the most important accessories.In the past ten years,it has developed relatively maturely.The technical level of my country’s power battery industry has grown rapidly,and the industrial system has matured,and the competitiveness of enterprises in the power battery industry has also been guaranteed.Power battery companies need to go through a long R&D and production process in the development process,during which they need sufficient funds to ensure the normal operation of the company.CATL,as a pioneer in the power battery industry,has adopted an active expansion strategy in its long-term development,and has conducted multiple financing actions to ensure the health of the capital chain and ensure sufficient competitiveness in the power battery industry.This thesis mainly discusses what kind of financing model CATL chose,the motivation of its financing mode selection and the effect of CATL’s choice of financing mode.This thesis takes CATL as a specific case for analysis.First sort out the literature and theories related to corporate financing models,and then explore and analyze the financing problems faced by the electric vehicle battery industry,the current situation of CATL,financing models,and the reasons for using these financing models.Finally,the effect of CATL financing model is analyzed from three aspects: financing rationality,financial performance and non-financial performance.This thesis draws the following conclusions through research: CATL chooses a financing model based on equity financing,the market competition is becoming more and more fierce,government policy subsidies are gradually decreasing,and the company itself is in a period of rapid development.These factors determine that CATL needs a lot of funds to finance To ensure that the previously formulated strategy can be finally completed,and the use of equity financing can achieve the strategic needs of the enterprise,it is necessary for CATL to use equity financing as the main financing model;the financing model selected by CATL not only meets the capital needs of the company,but also Reduced financing risks and financing costs;the financing model of CATL has a positive impact on financial performance.The financing model chosen by CATL can meet the company’s cash flow needs,reduce the company’s debt ratio,and optimize the capital structure.Profit and other aspects have shown an upward trend,which has promoted the development of the company;CATL has also given back to the market better after financing.The company’s financing behavior has diluted the equity share of major shareholders but has not caused the transfer of control.Finally,this thesis extracts the experience of CATL that can be used as a reference for other power battery companies when choosing a financing model: for power battery companies,meeting the company’s capital needs is undoubtedly an important problem that needs to be solved in the R&D,production,and sales links.Diversified financing methods are necessary to meet the capital needs of enterprises;power battery companies should try to choose financing models with less risk;power battery companies are highly dependent on government policies,and it can be said that government policies determine the power battery industry to a certain extent.With the development of the industry,power batteries need to pay more attention to relevant policies;financing only provides opportunities for enterprises to develop,and improving their own strength can not only bring sustainable development capabilities to enterprises,but at the same time,their own strength and reputation will also increase.Affecting the scale,efficiency,and cost of corporate financing,the market is more inclined to inject funds into companies with stronger strength and stronger development capabilities.