2011（人大） 中国再融资 Understanding seasoned equity offerings of Chinese firms.pdfVIP

Journal of Banking Finance 35 (2011) 1143–1157 Contents lists available at ScienceDirect Journal of Banking Finance journal homepag e: www.elsevier.c om/locate/jbf Understanding seasoned equity offerings of Chinese firms Hong Bo a, Zhongnan Huang a, Changyun Wang b,⇑ a Department of Financial Management Studies, SOAS, University of London, London, UK b China Financial Policy Research Center, Renmin University of China, Beijing, China a r t i c l e i n f o a b s t r a c t Article history: We examine the empirical relevance of standard theories explaining the motivation of Seasoned Equity Received 25 August 2009 Offerings (SEOs) in the Chinese context. Analyzing Chinese SEOs during 1994–2008 and controlling for Accepted 17 September 2010 other factors reflecting features of Chinese corporate finance, we find that Chinese SEOs are mostly moti- Available online 12 October 2010 vated by timing the market. Financing for investment and growth receives weak empirical support. We do not obtain any consistent evidence supporting both the tradeoff and the agency theories. In addition, JEL classification: we find that the firm’s SEOs behavior varies between rights issues and public offerings and across differ- G30 ent periods along with the progress of China’s market transition. Our results show that Chinese listed G32 firms in general beh