Research On Influences Of The Acquisition On Vanke And Its Investors' Interests

Before the nineties of the twentieth century,hostile acquisitions are still rare in China.With the implementation of the split share reform and the gradual improvement of the securities market,the shares of listed companies can be fully circulated in the twenty-first century."Value discovery" can be achieved because of the stock circulation.On May 23,2006,the CSRC promulgated the Measures for the Administration of Acquisition of Listed Companies(Draft for Soliciting Opinions)and began to implement Decision on Article 63 of the Measures for the Administration of the Measures for the Acquisition of Listed Companies from April 29,2008.From then on,a large number of enterprises take the hostile takeover action on target enterprise because they can not reach an agreement with each other.China's acquisition market began to become more active.From July 2015,shenzhen capital giant Yao Zhenhua led the Baoneng Group to buy Vanke A,H shares from Shanghai and Hong Kong successively,and gradually replace China Resources to become the the largest shareholder of Vanke."Wanbao dispute" reflects the capital market has become more diverse,mature and innovative.The purpose of this paper is to pay attention to the impact of the acquisition of Vanke shares on the interests of investors,to analyze the current situation of the development of hostile takeovers in China and discuss the impact of hostile takeover on investors' income.Through the case analysis of the above problems,the author attempts to advise on the healthy and sustainable development of hostile takeovers in China based on the perspective of investor protection.First of all,the article introduces the background information of Wanbao dispute and analyzes the acquisition motive of Baoneng Group.Secondly,the article analyzes the impact of the acquisition of Vanke shares on the interests of investors.The four aspects of article analysis are short-term impact analysis,long-term impact analysis,analysis of the impact of small and medium shareholders,analysis of the impact of large shareholders.Finally,the article came to the specific conclusion of the acquisition of the impact of investors.Based on the case analysis of the above problems,this paper draws the following conclusions from the above four perspectives:(1)The acquisition has a significant impact on financial performance.It reduces the company's short-term solvency and increases financial risk.More seriously,the company's earnings growth rate has experienced a significant decline.(2)After the hostile takeover,Vanke's equity concentration has been strengthened.Vanke Group's equity change to the state-owned,so the ownership structure is more stable.At the same time,Vanke continued to strengthen the business partner system.(3)The impact of the acquisition of Vanke shares is very obvious.In terms of investment income,Vanke stock prices have a great ups and downs and there is a great investment risk.Many investors buy the stock at high prices because of the lagging information,and the final interest is impaired.(4)Vanke's market value is much lower than the theoretical value of evaluation,and Vanke's corporation value is seriously underestimated.Baoneng Group's hostile takeover on the Vanke's corporate caused a greater degree of damage.