The Influence of Debt Management on Corporate Value

Abstract

At present, there are some problems in the biomedical industry such as poor financing channels, capital governance structure and business risk and etc. Debt management has certain impacts on financing channels, capital structures, business risks and corporate value. On this base, this paper empirically studies the influence of debt management on the corporate value of Guangzhou Baiyunshan Pharmaceutical Group Co., Ltd. The research proves that there is a significant positive correlation between the level of debt and earnings per share, and that the level of debt affects corporate value and capital structure. The purpose of this paper is to provide reference to enterprises in the biomedical industry to solve problems caused by debt management.