Case Study On Nanjing Tanker Corporation’s Delisting

Shanghai Stock Exchange opened in 1990, marking the formal establishment of China’s securities market. Suddenly, twenty-six years later, the number of listed companies in the stock market is rapidly growing and has now reached more than two thousand. Established securities market to promote China’s economic development, ease corporate financing difficulties and other issues have made outstanding contributions. But in the process of rapid development of the securities market has also exposed many problems to be solved inevitable.A mature into the stock market should be a market out there, so that it can continue to absorb high-quality companies, out of poor market companies to realize the rational allocation of resources. However, due to the special nature of China’s securities market imperfections such as delisting system and causes of this feature has never been able to run effectively, there has been a lot of use of the system when the defects listed companies face delisting from delisting. Long past, on China’s securities market had a profound impact: investment philosophy produced a deviation of investors, speculation is rampant; too much reliance on the government, the government hopes to be able to come forward processing. Especially in cases like this article related to the ST has a long oil so central enterprises listed company background, their unique position to ensure that they can always avoid being delisted.However, China’s securities market is actively working to improve and perfect the system in all its aspects, the mature Western learning experience to improve their own securities markets. 2012 China’s stock market delisting new regulations, to bring to market the new elements and vitality. Delisting new regulations refine and quantify the various data indicators, a direct result of delisting ST long oil, making it the country’s first delisting of central enterprises. Indicates that China’s stock market embarked on a new level, which is improving the delisting system, as well as between different market players in China’s securities market is tending to equality.Everything has sided nature, delisting ST long oil also exposed a lot of problems, but these problems, but there has been no effective solution:China’s stock market in the medium and small investors generally refers to individual investors and listed companies have no influence business decisions by institutional investors. In the first few days ST long oil delisting also small investors continue to buy the company’s stock, buy ST equity risk is great. Development of China’s stock market in recent years there are still many problems to be improved, more inclined to speculative investment philosophy. "The new fry, fried poor, small fry, fry short" and continue to nurture the culture of investors, prompting them to run the risk of buying the outgoing stock, they are gambling, gambling ST long oil can asset restructuring, safety delisting consolidation period or over a year later able to return to the A-share market, but the results let them down. In the mature Western stock market, value investing is the mainstream investment philosophy. The blind pursuit of China’s securities market development speed, but they ignore the development of quality problems, the ST long oil delisting event a warning to investors. Investors must adhere to the correct investment philosophy, investment analysis usually do a good job, to accurately assess the true value of the stock, in order to make a reasonable choice in the stock market, profit.On the other hand, ST long oil is forced to withdraw from the market, then investors will inevitably result in some loss, damage the interests of small investors. At this stage in China’s securities market, small investors are the most important group, and group base, wide distribution, but compared with institutional investors and large investors, minority shareholders in the amount of money, timeliness and information on authenticity, and other aspects of investment are in a weak position innate. And participation rights of small investors often been violated, can not participate in the decision-making on major issues of the company, thus leading to the interests of small investors is difficult to be protected, especially when in the company’s delisting. ST long oil delisting process, the right to information, participation rights and remedies of minority shareholders have received damage. Protection of small investors has been the subject of people studied, but until now the interests of minority investors still can not be fully effective maintenance, trading in the securities market and listed companies during the delisting process had been violated. This happens will be affected by small investors confidence that affect the normal operation of the securities market. Therefore, strengthening small and medium investors Protection sense at this stage to promote economic development and promote the healthy development of the securities market in the unusual.This paper uses the case study method, select the delisting of our first long oil central enterprises--ST classic case analysis. Analysis of the delisting process related to the status of the special nature of the central enterprises, small and medium investors, investment philosophy and interests of small investors protection and other issues in simple terms, and propose targeted for improvement.