Research On Problems In M&A Of Chinese Listed Corporations

Reconstructing, namely the assets recon structuring of an enterprise, is the adjusting, altering and re梒onstituting of artificial man?s property right, capital ownership and debtor?s right to maximize the value of capital. Reeon structuring is an enterprise?s behavior to utilize its management and resources to deal with the increasing market competitions. M&A is the most important form of recon structuring. M&A include merger and acquit ion. Merger is the transfer of asset ownership with compensation, the remonstrating behavior of an enterprise receiving, conquering another enterprise to realize the amass of social assets; acquisition is that an enterprise buys another抯 partial or all stock ownership to acquire the conquer over another enterprt Se. Because of the influence of the world economic circumstance, Chinese macroeconomic policies and their own management, the listed corporations are faced with difficulties in many aspects, their performances coming down generally .The fifth M&A wave in the world economic history is in the ascendant and inevitably produces a demonstrating effect on Chinese economy that is walking towards market orientation .As the favorite sons among Chinese state梠wned enterprises, of course Chinese listed corporations seize the opportunities, summarize M&A experiences from the developed nations of market economy and try ways in order to overcome their own shortcomings. 揇aoyan Disturbance?in September, 1993 and the following 揥anShen event?pull the prelude of listed corporations?reconstructing. Chinese securities market began to enter an more advanced stage. As an important means, M&A is going on all over the country quickly with evident effect. iii M&A has been becoming the effective method for listed corporations to shake off the predicaments. M&A (merger and acquisition) among restructuring plays a great role in adjusting industrial structure, optimizing resources distribution timely and achieving scale economy. Practice has proved that listed corporations can conquer difficulties and cultivate new profit梘rowing sources by M&A of assets with the help of the highly efficient carrier securities market However, Chinese securities market has been established and developed to deepen the reform of the state梠wned enterprises in the particular environment of politics and economy in China . The aim is to decrease the debt risk between the commercial banks and the state梠wned enterprises. The listed corporations are born from the state梠wned enterprises in China. And the securities market has also been established, developed to deepen the reform of state梠wned enterprises and solve the problems of their high debt rate. Therefore their M&A, the M&A motives and their present situations bear the distinct Chinese specialties. The thesis has analyzed these specialties. Further, it has mainly probed into a series of problems that exist in the M&A of the listed corporations with reference to the M&A in the western developed countries. I have made some policy suggestions too as how to solve these problems.