Research On Information Disclosure Rules Of Sources Of Fund For Takeover On Listed Companies In China

Chaos of acquisition occurs to China's listed companies frequently.Since 2015,the takeover market of China's listed companies has obviously stepped into a historical uprising period.The demand for acquisitions has doubled.However,there still exist problems related to information opacity as well as stock market speculation.With the quick development of the capital market and financial innovation,the sources of fund for takeover on listed companies are increasingly complicated.Although China adopts strict regulatory restrictions on financial institutions and enterprises'finance to invest in stocks,leverage buyout with high risks still happens occasionally which leads to people's increasing attentions on sources of fund.The supervisor has correspondingly come up with penetration supervision on it which has become a main idea to recognize financial risks and to prevent regulate arbitraging.Meanwhile,China is also planning to issue an amendment to Security Act,where the information disclosure rule on investors who hold 5%or more shares of a listed company is changed thus they have to disclose their sources of fund of the stock transaction.However,there is still little research on information disclosure rules of sources of fund for takeover on listed companies in China.As a part of disclosure rules of takeover on listed companies,the disclosure of sources of funds of takeover on listed companies calls for authenticity,accuracy,integrity on the disclosure documents.Meanwhile,relevant parties shall also disclose the disclosure documents in a timely manner.This article basically summarizes Tender Offer cases happened in the past five years in China,and select some typical cases as arguments.In Chapter one,the author provides necessity to the application of information disclosure on sources of fund for takeover on listed companies.In chapter two,basing on current law and the 2~ndd revision draft of amendment to Securities Law,the author analyzes problems on China's information disclosure on sources of fund of takeover on listed companies.Then,the author proposed some solutions according to the problems discussed above in chapter three.Finally,there leads to a conclusion on this article.