Legal Issues Of Foreign Mergers And Acquisitions Of Port Enterprises

With the reform of China's economic system and accession to WTO (World trade Organization), merger and acquisition of the China's port enterprises have been the hotspot of foreign investment. Merger and acquisition have benefit and harm to China's port industry. On one hand, it promotes the reform of the China's port enterprises, introduces investment,new technology and advanced managerial skills, helps to change China's port enterprise operational system, establish modern enterprise system and enhance China's port enterprises' core competitiveness. On the other hand, it brings us great new potential risks and problems. In order to make the activities (merger and acquisition) in an orderly manner and ensure the legitimate rights and interests of the China's port enterprises as well as the foreign investors, it is very urgent and necessary for us to study some related legal issues and perfect our current legal system.In Chapter 1 of this essay ,related conceptions such as "foreign capital",merger and acquisition" are defined in a special context for the purpose of this paper; in chapter 2, the current situation of the accession of the foreign investment to China's port industry as well as the reasons for the aforesaid accession are stated; in chapter 3, laws,regulations and legal procedures and other important issues relevant to the merger and acquisition of China's non-listed port enterprises by foreign investors are closely discussed; in chapter 4, for the reason that the listed port enterprises have comparatively better governing structure, and there is no big difference between the listed companies and other listed companies regarding the merger and acquisition, as well as that the laws and regulations issued by varied authorities related to merger and acquisition of the listed companies are quite a lot and not completed, so this chapter just outlined the framework of the laws and regulations of the merger and acquisition of China's listed port enterprises and other important issues; in chapter 5, the author gives suggestions to the legislation of the merger and acquisition of China's port enterprises by foreign investors, specially focusing on the establishment of the evaluation system of the industrial security of the port in order to prevent the foreign investments from controlling China's port industry even threating China's national economic safety.