A Study Of The Stock Counter-purchase Of Quoted Companies

As one of the most important way of the capital management of the quoted market, the stock counter-purchase is a common phenomenon in the market economy. Therefore, a study and discussion on counter-purchase of the quoted market can not only serve the adjustment of the state-owned economy, but also help to solve the problems encountered in regulating equity structure, with great significance to the development and renovation of our quoted companies and capital market.With the relevant problems in stock counter-purchase of the quoted company as the research target, this dissertation begins with the necessity and significance of the stock counter-purchase, and then makes an elaborate discussion on the relevant problems based on the combination of theory and practice. More focuses are put on the discussion of the problems, such as pricing the stock counter-purchase, protecting the interests of creditors and minor shareholders and counter-purchasing of the state-owned stocks. Finally, as far as the perfecting strategies of the stock counter-purchase are concerned, a wide range of constructive suggestions is put forward.Implementing some scientific research methods such as case study, deductive analysis and inductive analysis, this dissertation carries out a deep study on the stock counter-purchase. It consists of seven chapters. The first introductory chapter mainly introduces the significance of the study, the present research situation home and abroad as well as the research methods. The second chapter briefly reviews the concept of the stock counter-purchase and its development, the motivation of the quoted company's counter-purchase as well as its function. As the literature review, Chapter Three introduces three hypotheses of the stock counter-purchase, and Vermaelen's theory on analysis model of wealth impact on stock counter-purchase and reasons for wealth increasing. Chapter Four, the core of this dissertation, analyses basic principles about the protection of the interests of creditors and minor shareholders in the process of counter-purchase. Some concrete measurements are brought forth. Chapter Five summarizes many practical cases of the stock counter-purchase of the quoted companies. And the case of Yuntianhua is analyzed in detail as a highlighted example. Based on theprevious analysis in the former five chapters, Chapter Six proposes strategic measurements to prefect the stock counter-purchase of the quoted company. The conclusive part, Chapter Seven, draws a conclusion to the previous study.