Research On The Legal Supervision Of Overseas Red-chip Listing Of Private Enterprises In China

When an enterprise reaches a certain stage of development,different methods will be used in financing,including debt financing,equity financing and so on.In particular,equity financing is the most effective way for many enterprises to complete the listing when they reach the stage of development.As is known to all,A large number of Chinese private enterprises prefer to list in the domestic capital market.However,due to various reasons,many enterprises choose to list overseas,including Hong Kong,the United States,Germany and other places.Especially,listing in Hong Kong has become the priority choice for many enterprises to list overseas.One method that many overseas listed private enterprises in China mainly adopts is red-chip mode.More specifically,the red-chip mode refers that a domestic company transfers its domestic assets to an overseas registered company in the form of share exchange or protocol control,which purchases or controls its domestic assets or equity,and then completes the listing in the name of the overseas company.The red-chip mode provides a new financing channel for Chinese private enterprises,which enables them to successfully go public in Hong Kong or other overseas markets,and makes a great contribution to the development of Chinese private enterprises.However,the red-chip mode has its own question of law.Due to the particularity of the red-chip mode,it can bring many problems such as asset transfer,tax risks,etc.Therefore,the relevant regulatory authorities of China have successively issued many legal documents for strict supervision.Moreover,how to correctly understand the red-chip listing mode and how to complete the overseas listing without bringing future legal supervision risks to the enterprise,so as to realize thebenign development of the enterprise,is of great significance to the overseas red-chip listing of private enterprises in China.This paper is based on the research of different red-chip listing modes overseas,with the corresponding legal supervision system as the core of research,using methods of comparing,classifying and inducting,making sufficient discussion on red-chip listing mode of private enterprise in China and corresponding legal issues from the perspective of pragmatism and legislation.Besides,the existing problems of legal supervision of current red-chip listing modes will be analyzed and concluded.The corresponding suggestions will be given in the end.This paper is divided into four chapters.Chapter one is the introduction.The main content is to introduce the purpose and meaning of this topic,the current research status of this topic domestic and overseas,the research methods,the main research content and the innovation of this paper.Chapter two is the background analysis of domestic private enterprises' choice of red chip listing.The first part is to introduce the related concepts and modes of red chips listing.The second part is to analyze the status of overseas red chips listing of domestic private enterprises.The last part is to analyze the reasons why domestic private enterprises choose red chips listing.Chapter three is to introduce the legal supervision of red-chip listing,which is mainly divided into three parts.The first part talks about the necessity of the legal supervision of overseas red-chip listing in China;Secondly,it is a historical analysis of the legal supervision of red chips listing in China which talks about vertical analysis of the development process of the regulatory road.Finally,it is an elaboration and analysis of the current situation and problems of the legal supervision of private enterprises' red chips listing in China.Chapter four is the last chapter of this paper.Based on the summaryand analysis of the first three chapters,this paper puts forward some suggestions on the legal supervision of overseas red chips listing of private enterprises in China.