Management Buyouts Of Listed Companies Internal Control

MBO produced in the United Kingdom in the sixties of the20thcentury anddeveloped in the United States in the eighties of the20thcentury. Since that time MBOas a special kind of leveraged buyouts brought into China the theoretical andacademic circles has not been terminated. From played an important role in therestructuring of state-owned enterprises tide to Sina Group MBO`practice ofnon-state-owned enterprises to today the Dalian International MBO planning, MBOand its application is still worthy of discussion and concern. The internal controlproblems of listed companies`MBO, not only involving management buyouts butalso involving the governance structure of the listed companies. Resolving the internalcontrol problems is good for MBO system to better play its role.The text is divided into six parts. Which from the definition of the study scope tothe procedural matters and substantive matters. The author attempts through theanalysis the hazards and causes of the problem of the internal control of MBO oflisted companies, put forward the way to resolve from the Establishment, and thelegal perfection aspects.The first part is an overview of the MBO. Which include the originator anddevelopment of MBO and the research status of domestic and international countries.The second part is an overview of the internal control. Which include definitionof insiders and internal control, distinction between internal control and internalcontrol problem. The internal control problem in different corporate governancestructure, to clear internal control unary and binary governance structure will existunder different corporate governance structure.The third part is internal control problem of listed companies. Which includedefinition and performance of the internal control of listed companies, and hazards ofinternal control problem of listed companies to MBO.The fourth part is the legal regulation status of internal control problem of MBOof the listed companies. Which from independent director system, information disclosure and insider trading three aspects analyze the regulation status under thecurrent situation.The fifth part is the resolve way of the internal control problem of MBO of thelisted problems. Which from regulating and improving the system of independentdirectors, regulating and improving pricing mechanism, regulating and strengthen theinformation disclosure, establishing and strengthen the system of supervision, toexplore ways to resolve the internal control problem of MBO of the listed companies.The sixth part is the conclusion.