The Protection For Investors Of Objective Company In Tender Offer

Primarily, the objective of this research is to study the system which isused to protect the interests of target companies’ investors, analyses anddesigns the deficiencies of its application in Chinese legislation andexplores whether there are other possible methods to protect the interests oftarget companies’ investors by taking the tender offer of Rongsheng HeavyIndustries as an example.To achieve this objective, the article includes three chapters:The first chapter specifies the tender offer of Rongsheng HeavyIndustries. The main contents include how the mainbody of information disclosure performing the obligation of informationdisclosure.The second chapter analyses the relief for target companies’ investorswho are damaged in the tender offer of Rongsheng Heavy Industriesrespectively from the angles of contract law and tort law, and reveals theproblems existing in the current system which is used to protect theinterests of target companies’ investors in China.The third chapter brings up some opinions and suggestions onprotection for the rights of target companies’ investors. It containsdeveloping the Information disclosure system during tender offer,establishing a system of compensation for the margin, phasing outthe pre-procedure of misrepresentation infringement suits and establishinga contracting fault liability for false disclosure.