Study Of The Legal Issues Of Share Repurchases

In the counties and districts which there is a mature capital market, stock repurchase is a frequently used and important capital operating instrument for listed company in different developed periods and external environment. Stock repurchase has its own abuses, such as conflicting with traditional company theories and bringing about negative effects easily. While stock repurchase also has the following important positive functions: capital structure optimization, minor shareholders rights protection, the price of undervalued stocks boost and modern incentive system promotion. By analyzing abuses and functions of stock repurchase and comparing the laws of the principle countries and districts in the world, the paper points out the defects in the system of our country's stock repurchase now, discusses the necessity and possibility of setting up the system of stock repurchase in China, and gives some legal advice.Chapter 1: A analysis in legal theory of stock repurchase, which mainly introduces the meaning and development of stock repurchase.Chapter 2: A comparison in legislation of stock repurchase. To study the legislation of stock repurchase in the countries and districts of the common law system and the continent law system, note that the common tendency of enlarging the applicable scope of stock repurchase that has been formed in these countries and districts, and a simple comparison is given between China and these countries.Chapter 3: Discussion about legislation of stock repurchase system in our country. In this part the essay introduces the typical stock repurchase cases in the practice of China, describes features of our stock repurchase system, sets forth the defects and experiences in the system of our country's stock repurchase, and states the necessity and possibility of setting up the system of stock repurchase in China.Chapter 4: Legal suggestions on the setting up stock repurchase system in China. It puts forward the general advice and the detailed advice of setting up our country's system of stock repurchase.