A Case Study Of Wuliangye's Related Party Transactions And Controlling Shareholders Tunneling

As the consumption level was improved, the Liquor Industry developed fast. It has gone in to a new time as the High-end market rises. As the faucet of the Liquor Industry of China, Wuliangye witnesses the development. Since the 1980s, Wuliangye had kept pace with Mao-tai by means of developing the price and the quality at the same time. But the real controllers of the Wuliangye Group has taken away more than 9.7billion from the Listed Company while the Minority shareholders get lower in return than the other Industry competitors.In our country, most listed companies are established by restructuring, issue of new shares, and listing. By restructuring, the best assets were taken out for the listed company. All those provide facilities for the transactions of public companies and transfer of benefits.First we go back to the research background, the theoretical and practical significance of the related party and controlling shareholders tunneling of the Wuliangye listed company, as well as the recent status in and out of China, analysis the institutional background of the related party transactions in our country since 1997, list the innovation point of possibility. According to the Equity structure, detail form of the related party transactions motive and other aspects, we go into this case, related party transactions of Wuliangye and transfer of controlling shareholders'benefits. Based on the conclusion, we put forward some advice and prospect on the securities market of China related party transactions besides some limitations.