State-owned Enterprises As A Whole Listing Of Special Study

The positive prospect of China's economic development and the need for transformation provide historic opportunities for the development of capital market. At the end of 2007, there were already more than 1,550 listed companies in Shanghai Stock Market and Shenzhen Stock Market, and equity division reform has been completed within two years on the whole. The total market capitalization of the two stock markets amounts to $3, 270 billion, namely, 140 percent of national gross product. This makes it first of emerging markets, and third of the world because the total market capitalization of the two stock markets is expected to surpass that of American NASDAQ Stock Market in 2008, only next to New York Stock Exchange and Tokyo Stock Exchange. However, some problems has long existed in securities market and unsettled, such as frequent related transactions, occupation of listed company's capital by controlling shareholders, owner absence, insiders'control. To find effective solutions to the above problems, this thesis reviews the background and origin of the incomplete reform of state-owned enterprises, analyzes the necessity and popularity of such problems, and indicates that the root cause of the problems lies in the incomplete enterprise reform through stock system. The thesis shows not only the two reform modes of Britain's and Germany's state-owned enterprises provides referential basis for us, but also some China's state-owned enterprises have found realistic solutions to above problems by holistic listing and second system reform in recent years. The universally accepted holistic listing means securitization of all the assets or major business assets in the group company. With different implementation procedures and financing means come different routes, which can be summarized as new shells, back-door listing, combination and making of shells. Based on the data collected and sorted out, the thesis attempts to make an analysis and research of the unsuccessful cases of incomplete reform of state-owned enterprises; moreover, it makes a study of the underway cases of Sichuan Changcheng Special Steel Company Limited and China State Shipbuilding Corporation. Next, intrinsically and fundamentally, from the perspective of the state and motives of the controlling shareholders, it discusses on the popularity and applicability of holistic listing for state-owned enterprises with incomplete system reform, and concludes holistic listing is an effective solution to the problem of the incomplete reform of state-owned enterprises in Chinese securities market, pointing out the problems of holistic listing at the same time. Therefore, this thesis provides some theoretical basis and solutions for the gradual reform of securities market in China, and contributes to the settlement of the incomplete reform of the large quantities of state-owned enterprises in Chinese securities market.