Shareholding Reform Of Split A-share Listed Companies Controlling Shareholder Behavior Change Research

Non-Tradable Shares Reform started a new era for the Chinese A-share market,and it is recognized as a milestone at the history of the Chinese A-share market. The reform solved problems of share structure, improved management structure of listed companies, and also changed the operation mechanism between controlling shareholders and listed companies.Through in-depth research, this dissertation presents following findings.1)Amount and frequency of connected transactions between controlling shareholders and listed companies decreased significantly after Non-Tradable Shares Reform.2)In terms of fund guarantee, there were much less violated guarantees than before, business related guarantees became a lot more regulated,3)Controlling shareholders'two-way share trading became more frequent, their accumulations of listed companies'shares to improve companies'image are approved by regulators and markets;4) More controlling shareholders injected good quality assets into listed companies in order to support its business operations, and avoided horizontal competitions effectively.Through the research of Overseas Chinese Town A, we proved it is a listed company that is in a very good status. After the reform, the company's management structure was further improved. The controlling shareholder strengthened its support to the listed company, paid a lot more attentions to maintain the listed company's image in the market, and injected good quality assets into the listed company though directional add-issuance to the controlling shareholder. This improved foundations of the listed company dramatically.There are three main reasons for transformation of controlling shareholders' behaviors,after Non-Tradable Shares Reform. At first,Non-tradable shares can be traded on the market when it is relieved after the reform, and the pricing mechanism has changed significantly. Consequently, one listed company is no longer a binary system. The reform unified interests of controlling shareholders and other minority shareholders. Secondly, the improvement of management structure restricted controlling shareholders behavior effectively. Categories Voting mechanism, which was introduced through the reform, stimulated minority shareholders'awareness to protect their own interests. Thirdly, the reform strengthened regulators that include SASAC and CSRC's restriction over listed companies'controlling shareholders.