Tunneling Evidence from Private Placements in China

• Main Authors: Fu,Chiang, 傅強
• Other Authors: 陳慧玲
• Format: Others
• Language: zh-TW
• Published: 2010
• Online Access: http://ndltd.ncl.edu.tw/handle/11012300069464114375

碩士 === 國立臺灣師範大學 === 管理研究所 === 98 === 　　This study aims to examine the association between discounts for private placements and the identity of the investors buying the shares in China. This study also examines the impact of corporate governance on discounts for private placements. This study further examines whether the private equity firms outperform matching firms after the private placements. 　　The empirical results show that discounts for private placements sold to large shareholders were significantly higher than the discounts for private placements in which large shareholders do not participate. In addition, the percent of stocks held by the three largest shareholders was significantly related to the discounts for private placements. When private placements sold to large shareholders, the identity of the controlling shareholders has an impact on the discounts for private placements. Furthermore, this study finds that the Tobin’s Q of the private placement companies is significantly lower than that of the matching firms after private placement. The private placement companies have lower total asset turnover and sales growth rate than matching companies. Therefore, the empirical results suggest that the private placement firms underperform matching firms after private placement.