The Impact Of China's Listed Companies' Acquisition On The Rights And Interests Of Small And Medium-Sized Shareholders

With the continuous progress of financial markets,it provides a better development environment for the companies,so the number of listed companies are increasing and the scale is also expanding,but it also brings more intense competition between listed companies.To face the survival of the fittest market competition mechanism,acquisition has been one of important ways to enrich the company's business,strengthen the integration of resources,enhance the development of space for listed companies.The impact of the acquisition by a listed company is often not limited to the acquirer itself,it will also bring multiple effects to the target company and its shareholders such as capital gains,equity dilution and so on.Which is involved in the most extensive is small and medium-sized shareholders.They are the largest number of groups in the securities market.It is also the group that is most likely to be ignored and even the group which got damage most by stock market turmoil and company closures.This paper will talk the equity dispute of Vanke as an example which is high concerned currently.It will have a brief description about the acquirer Baoneng's acquisition behavior and Vanke's anti-takeover behavior.Then analysis the influences to the small and medium-sized shareholders about the two companies' behavior.Chapter One construct the general framework of this paper by introducing topic background and research significance,research ideas and methods and possible innovative and inadequate.Chapter Two recalled the literature research about the motivation of listed company's acquisition and the impact of the acquisition on the market and the small and medium-sized shareholders,and make some corresponding introduction about the theory of acquisition after a brief review of the literature.Chapter Three after defined the concept of acquisitions and small and medium-sized shareholders,explored and defined small minority groups as described herein.Then analyzes the impact of acquisition on minority shareholders in the stock market,mainly divided into two aspects which are positive and infringement effect.One of the positive effects is reflected in three aspects such as bring direct benefits to the small shareholders,create value for listed companies and relieve agency issues.The resulting damage is divided into four forms.Chapter Four introduced the stakeholders and general process of the equity dispute of Vanke first.Then briefly analysis the impacts about the small and medium-sized shareholders more intuitively by some chars,combined with Vanke become the driving force of the acquisition target analysis,according to Vanke equity dispute on the small shareholders of the positive impact and violations for further analysis,especially the aspects of being infringed.It will see that there is greater risk for small and medium-sized shareholders when Baoneng carries out acquisitions by using insurance funds through highly leveraged way.And it also influences shareholders' equity when Vanke counterattacks by stocking suspension,intending to bringing in the Shenzhen subway and so on.During this process,the small and medium-sized shareholders could easily become the interested parties in both sides of the competition.At last,analysis the reasons of small and medium shareholders affected during the equity dispute.Chapter Five according to the above description and analysis,this paper gets the conclusion that after the acquisition behavior,the acquirer passes some positive behavior may promote the profitability of listed companies.But in the process of real economic activity,China's securities market is still not mature enough,there are many constraints and constraints on the development of listed companies,the interests of the controlling shareholder still exist,the company's internal governance problems cannot be completely resolved,so not all the target company small and medium shareholder interests can be increased.Therefore,this paper argues that the acquisition of listed companies is not only the unilateral act of the acquirer for the purpose of gaining,but also the market economy behavior which involved multiple interests.The acquisition behavior of listed companies should be standardized such as enhance the awareness of information dissemination,enhance the sense of social responsibility,strengthen the company's management obligations.And it could also improve the protection measures of small and medium-sized shareholders by improving the information disclosure system,perfecting the small and medium-sized shareholders to represent the litigation system,and improving the corporate governance structure in the acquisition process.