Study On Merger And Acquisition, Restructure Of The Domestic Securities Company

The regulations of the Securities Act of 1999 to give sort administration to the securities company have made the systematic arrangement for them to develop in specialization, fastened their merger and acquisition, restructure (shortened as MAR in the following) and also brought about the first tide of MAR among securities companies. This is just a start with the expansion and the standardization of the securities market, the entry of China into WTO and the opening of the securities market and securities industry step by step as well, the market-oriented in the real sense and restructure in large scales are on their way. Soon the real wonderful play will come. Although academic circles have already given close concern to them, real deep researches are still lack. All of these make it necessary to analyze and evaluate the restructure phenomenon in the securities industry of China. This paper intends to give analysis and evaluation of MAR among securities companies in a empirical way, and suggest the path of it so as to give instruction to the will-be companies involved into it. My paper is divided into three parts, which are the introduction, the body and the conclusion.The introduction first gives the significance and the angle of the research, and points out that MAR is the reality and the inevitable choice of securities company and securities industry of China. Then it gives systematic empirical analysis to the MAR among securities companies in China in the case of the whole industry; and investigates to the market structure of the securities industry with the help of the industry organization theory and at last it suggests the possible paths of these MAR.There are three chapters in the body. Chapter one is the theoretical foundation of the whole paper. It first involves the basic definition, modes and effects of merger and acquisition. Then it points out that restructure is a much wider notion than merger and acquisition on the whole are, which involves the whole process of merger and acquisition, the restructure of business, asset, liability, share-ownership, personnel and management, hi my paper, merger and acquisition are dealt with as a whole; the entire process Of merger and acquisition, the adjustment and restructure of capital structure, institutes, personnel, liabilities are dealt as a whole and are termed as restructure of securities industry. The two parts are treated as a whole (MAR) in general analysis, but separately hi specific analysis.Chapter two attaches importance to the general circumstances, modes, motives, effects, limitations and risks as well as their precautions of MAR, hi order to give analysis to the present situations of it The main types of MAR domestic among securities companies are the expansion of share and capital, merger or amalgamation, which are mainly of extensive ones. And most of these MAR have obvious marks of administrational interference or confront with special opportunities, and only a small proportion is conducted in strictly accordance with the market principle. The MARdomestic among securities companies have their internal and external and peculiar causes. The internal ones refer to the causes of self-defects that force companies to do so, the external to the changes of the existence environment which make MAR inevitable and the peculiar ones to the causes that companies are compelled to do so for their illegal operations or great deficit. Though many cases are not real MAR in the sense of market-orient, they have had great impacts. Of course, there are some limitations and risks in the process of MAR. We can get to know what MAR is really like from the analysis of specific cases.In chapter thee, a conclusion is made by comparing the competitive power of the securities companies domestic and abroad, investigating the market structure of the industry in a empirical way: The competitive power of the securities companies domestic needs great promotion; the market structure of the industry requires improvement; and MAR is an effective way to get to this...