Empirical study on the relationship among government holding, asset injection and listed companies performance : evidence from China securities market
Zhang, Tao; Huang, Hedy Jiaying; Hooper, Keith
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Citation:Zhang, T., Huang, J., and Hooper, K. (2014). Empirical study on the relationship among government holding, asset injection and listed companies performance – Evidence from China securities market,. Corporate Ownership & Control Journal, 12(1), pp.169-179
Permanent link to Research Bank record:http://hdl.handle.net/10652/2898
This paper aims to investigate the private placement of equity (PPE) by asset injection in China. It analyzes the influence to shareholders’ wealth and performance in the state-holding listed companies and private-holding listed companies. The key findings of this paper are the shareholders’ wealth and performance increased in the short-term, but decreased in long-term after announcement of asset injection by major shareholders. After asset injection, the state-holding listed companies experience larger decline in the long-term shareholders wealth and performance than private-holding listed companies.