Do China′s Listed Companies Prefer Equity Financing or over Financing? Some Empirical Evidences from Listed Companies Re-financing

Against the widely recognized view that China′s listed companies prefer equity financing,this paper re-examines China′s listed companies financing behavior. Studies indicate that there is no equity financing preference in China′s listed companies when the short-term debt is taken into account and the impact of initial public offering is excluded. Further analysis demonstrates that there is sufficient evidence to prove that the financing of China′s listed companies is typical over financing.