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What are the benefits of China Eastern Airlines' non-A-share issuance to shareholders?
Is it okay for listed companies to issue shares privately?

Generally speaking, non-public offering of company shares is beneficial. Private placement refers to the behavior of listed companies to issue shares to specific objects in a non-listed way.

The role of non-public offering of shares

1. Raise public awareness of stock investment management. As far as the whole country is concerned, people's awareness of financial management and investment is still not high, and their understanding of stocks is not enough. Stocks are high-risk, non-principal and non-income securities, and some people even confuse stocks with bonds.

2. However, some enterprises have too little self-owned capital to realize technological transformation. The phenomenon of aging equipment and backward technology and the self-development of enterprises have never changed. Issuing stocks can quickly gather a large amount of funds and enrich the enterprise's own capital. At present, it is difficult to issue shares on a large scale, so it is undoubtedly a favorable choice to develop non-public offering in a planned way.

3. Improve employees' sense of ownership. The dividends obtained by employees when they become shareholders are related to the company's benefits. The participation of shareholders' representatives in the company's management can make employees more concerned about the company's production and development, help improve the company's cohesion and mobilize the enthusiasm of employees.

4. Conducive to the development and stability of enterprise society. Non-public offering of shares can not be traded in the social securities market trading management institutions, but only through limited transfer within the company, with small price fluctuation and low risk, which is suitable for the mental health of the public.