Research On The Two-tier Shareholding System Of Listed Companies

The two-tier shareholding structure attaches different sizes of voting rights to each share.It is a departure from the traditional "one share and one power" principle,but the two-tier shareholding structure has a history of 100 years in the world,especially Mature development in the US capital market.At present,China’s capital market does not allow the application of a two-tier equity structure,leading to innovative companies such as Alibaba,Baidu,and Jingdong seeking overseas listings,including Alibaba’s listing from China,Hong Kong,and the United States.The "Chinese partner system" has caused widespread concern and controversy.In 2018,Xiaomi,as the first mainland company listed in Hong Kong with "different shares of the same stock",triggered the academic community’s thinking on the "two-tier shareholding structure."This paper starts with the concept of two-tier equity structure,and then analyzes the effectiveness of two-tier equity voting rights and the impact of two-tier equity structure on corporate governance.Finally,the author discusses the existing equity structure in China’s capital market.And make suggestions on how to build a two-tier shareholding structure in mainland China.