研究期間：10308~10407;In the past years, private placements have become a vital selling mechanism for public firms to raise equity capital. Current studies examine several topics regarding the private placements. These topics include the factors affecting the choices between public offerings and private placements, the discounts of private placements, and the post-issue operating and stock performance. However, there are still interesting issues that are not well documented in the literature. In this proposal, we propose a three-year project to address the following issues: (1) To examine the changes of the extent of the information asymmetry around the selling of new shares, and whether the change is different between the public offerings and private placements. (2) To understand the uses of funds raised in the private placements. (3) To examine whether the issuing firms spend too heavily on R&D and capital expenditure than optimal scale, and try to link the overinvestment and the long-run performance.