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Are the regulations on seasoned equity offerings effective?


This paper compares the cumulative abnormal returns and operating performance of Chinese listed firms which made seasoned equity offerings or right issues at different profitability thresholds. Results show that both the average long-term and short-term cumulative abnormal returns of these firms increase significantly after the setting of thresholds. Moreover, the accounting performances of these firms are also improved to some degree. It implies that regulations on new equity raising behavior of listed firms are necessary and effective in protecting the investors and restricting listed firms’s “money encirclement” behaviors.


在不同的配股和增发门槛下, 分析进行配股和增发的公司累积超额回报率和会计经营业绩表现。 研究发现, 再融资公司股票的平均累积超额收益率与没有门槛时相比, 无论长期还是短期都有显著提高, 会计业绩也有所改善。 在我国股票市场处于新兴和转轨阶段, 为保护投资者利益, 抑制 “圈钱” 行为, 实现股票市场 “发展、 规范和市场承受能力高度统一”, 以往的再融资门槛是必要和有效的。 随着近年来合格投资者力量增强, 可以考虑降低融资的财务指标门槛, 放松发行规模和时机选择的限制。


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Correspondence to Zhengwei Wang.

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Translated and revised from Guanli shijie 맜理世界 (Management World), 2006, (10): 108–113

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Wang, Z., Zhao, D. & Zhu, W. Are the regulations on seasoned equity offerings effective?. Front. Bus. Res. China 2, 339–355 (2008).

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