The View Of China’s Delisting System Of Listed Companies

Based on the legal system composed by cooperation law and Securities law,China’s stockmarket plays a crucial role in raising money and allocating resources.However,theimperfection of this young market become a hindrance to delist listed companies.As aresult,the market is gutted with companies with poor performance, makes it difficult for thecompanies with good performance to entry the market and listed companies to developwell,thus increasing the investment risk for investors.Therefore,perfecting Delistingmechanism is important to establish a sustainable and efficient market.This paper is consist of four section:First section,a brief summary of China’s Delisting mechanism of listedcompanies.Analysing the concept of Delisting mechanism explained by Securities lawtextbooks and redefine it.On the basis of the concept,discussing the function of Delistingmechanism to lay the theoretical foundation for this paper.Second section,introducing the regulation of China’s Delisting mechanism of listedcompanies and its current situation.Decribing the situation of legislation in delisting and findproblems in delisting through legislation process and historical development.Third section，a conparison and referential of Delisting mechanism.By exploring andcomparing the regulation and procedure of Delisting mechanism of other coutries,such asAmerica,Britain and Japan,providing new thought for the constitution of China’s Delistingmechanism.Fourth section,perfecting the regulation of China’s Delisting mechanism.This is themain section.On china’s economic enviroment,propose the legal consideration of perfectingchina’s Delisting mechanism of listed companies.The innovation of this paper is a detailed analysis of Delisting mechanism of listedcompanies and attemption to redefine it.Based on these,this paper makes new suggestion tothe Delisting mechanism,such as refine the regulation of Delisting,perfecting the procedure ofdelisting and determing the way of companies delisting volunteerly.