The Impact of Environmental Information Disclosure on Enterprise Value

Abstract

The construction of ecological civilization and the development of green finance have gradually become the theme of the times, so it is particularly important for enterprises to gradually realize voluntary scientific environmental information disclosure. This paper examines the "U" curve relationship between the quality of environmental information disclosure and enterprise value, as well as the moderating effects of institutional shareholding ratio and nature of ownership, using heavy pollution enterprises in Shanghai and Shenzhen of A-shares from 2015 to 2019 as a research sample. The results show that the relationship between environmental information disclosure and enterprise value of heavy polluters has a relationship of positive "U"-shaped curve; institutional shareholding has a positive moderating effect on the value effect of environmental information disclosure; the nature of ownership shows significant heterogeneity in the effect of environmental information disclosure on enterprise value, and the "U"-shaped value effect of environmental information disclosure of non-SOEs has a positive effect on the value effect of environmental information disclosure of heavy pollute enterprises. The "U"-shaped value effect of environmental information disclosure is more significant for non-SOEs. In further research, this paper conducts robustness analysis of enterprise value, monetary environmental information disclosure and non-monetary environmental information disclosure and endogeneity test. The findings of the study provide empirical evidence for improving the environmental information disclosure system and strengthening the supervision of SOEs, and also provide useful references for enterprises to comprehensively understand the value effect of environmental information disclosure, establish a management mechanism for enterprise environmental information disclosure and correctly view the importance of institutional investors.