Study On The Economical Consequence Of The Management Buy-out Of Listed Company In China

The management buy-out is the one goal company to another goal company by lever absorb capital completes the purchase. The MBO has developed for more than 20 years in overseas, demonstrated the formidable vitality. It has realized the concentration of property rights and the operating rights, thus reduced the proxy cost, restrained and promoted the management level. MBO has developed very quick recent years in China, the first listed company was implemented by MBO in 1999, from 1999 to 2004, and more than 10 companies that have been implemented MBO have beenalready disclosed, also there are more and more company to begin or to prepare to implement MBO. But there are two viewpoints in China at present about MBO, one viewpoint thinks that implements MBO will cause new alone capital to be big and the state asset drains at present economic environment in China, and after implements MBO cannot to be able to enhance the management achievements of company certainly. But another viewpoint thinks implements MBO to be allowed the defined property right, reduces the proxy cost, enhances the achievements of management, it is significant to study the economical consequence of management buy-out.