Governance Analysis And Regulatory Strategy Of Henan Listed Companies

As of the end of2012, there are66A-stock listed companies in Henan province, which ranked NO.13in China and NO.4among the6central provinces. As a component of Chinese listed companies, there are no significant differences of the corporate governance of Henan listed companies comparing to the overall level of Chinese listed companies. Since2004, along with the improvement of the laws and regulations, the share-reform and the default clear-up, some of the problems left over by history were solved, and corporate governance of Henan listed companies stepped into a new phase of development. Since IPO was reopened after the reform of the non-circulation shares, privately-owned listed companies gradually increased, while state-owned listed company still occupied more than50%of the whole listed companies. Problems of corporate governance emerged, such as high ownership concentration misdisciplined operation of Board of Directors、low percentage of management share incentive and external governance circumstance to be improved. These problems constrained the development of Henan listed corporations.This paper based on the theoretical basis of corporate governance, and drawed lessons from domestic and oversea successful practices, through the analysis of the share structure、operation of Board of Directors、management share incentive and external governance circumstance, systematically studied the governance strategy of Henan listed companies. First, according to the analysis of the current situation of corporate governance of Henan listed companies, this paper uncoverd the principal problems of these companies. Second, by means of analyzing the shareholding ratio of the first majority shareholder、distribution of stock rights of top3shareholders, this work analyzed the situation of the Henan listed companies’equity structure, studied the equity structure characteristics of state-owned and privately-owned listed companies and analyzed the ownership structure of these companies. Moreover, in terms of operation procedures of Board of Directors、the operation of specialized committee and the selection and function of independent directors, this paper analyzed and raised suggested strategies to enhance the governance of the Board of Directors. Based on the main policy and implementation status of listed companies’ share incentives, this study proposed the implementation strategy of management share incentive of Henan listed companies. Finally, according to the analysis of the external governance circumstances, this paper made horizontal and longitudinal analysis of the regulatory situation and regional regulatory features of Henan listed companies and put forward regulatory strategy to perfect the governance of Henan listed companies.This paper characterized and broke new ground on several areas:①By means of analyzing the situation of the Henan listed companies’ equity structure, this work found the equity structure characteristics of state-owned and privately-owned listed companies and uncovered the ownership structure of these companies;②By analyzing the governance of the Board of Directors and implementation status of listed companies’share incentives, this study proposed the implementation strategy to enhance the governance of the Board of Directors and management share incentive of Henan listed companies;③Based on the analysis of listed companies’external governance circumstances, this study put forward regulatory strategy to perfect the governance of Henan listed companies. The study not only provided Henan listed companies with enhancement measures and regulatory strategy of corporate governance, but also would offer reference and inspiration on streamlining regulation and legislation of listed companies in our country, especially the exploration of suitable regional supervision mode for listed companies.