Research On The Protection Of The Interests Of Small And Medium-sized Investors In The Process Of Stock Exchange Anndmerger

The role of the capital market in the economic development of a country is becoming more and more important.Protecting the interests of small and medium-sized investment is the key to promoting the development of the capital market.Small and medium investors are victims of capital operations because of their limited shareholdings,weak voices,decentralized organization,and low risk tolerance.With the development of China’s market economy and the transformation of economic structure,M&A restructuring has become an important way to optimize the capital structure of China’s capital market.Swaps and mergers have become the most common form of mergers and acquisitions in China as no cash flow is involved.The stock exchange and merger involves the interests of all parties from selection of options to the implementation of share swaps.The interests of controlling shareholders and small and medium investors are evenly distributed.This is directly related to the success of mergers and acquisitions and the development of merger-and-acquisition companies.On August 24,2015,the state issued the Guiding Opinions on Deepening the Reform of State-owned Enterprises.The merger of China Merchants She kou and China Merchants Property Co.,Ltd.is the first case of merger and absorption of central enterprises after the reform program of state-owned enterprises was released.This article uses literature research,case analysis,qualitative and quantitative analysis and other methods to analyze the case of China Merchants She kou with the merger of China Merchants Property.First of all,the literature review of domestic and foreign research status and relevant theories involved is the theoretical basis of this paper.Secondly,from the background of the market and the background of the merger,the merger of China Merchants She kou and China Merchants Property was used as a case study to illustrate the merger motives of the two parties,and to introduce the financial implications of the merger plan and the merger and absorption merger.Thirdly,starting from the factors that affect the interests of small and medium investors in the conversion and absorption merger,this case will be reviewed in terms of the timeliness and completeness of information disclosure,cash options,exchange ratios,and share exchange prices.The situation of small and medium investors’ interests has been evaluated and summed up as follows: higher exchange price protects the interests of small and medium investors;lower cash option prices and exchange ratios impair the interests of small and medium investors;lack of integrity in information disclosure The interests of small and medium investors.Finally,from special to general,putting forward the proposal of protecting the interest of small and medium-sized investors in the stock exchange and merger: improve the corporate governance structure,establish an effective internal power balance mechanism;strengthen the information disclosure system to ensure the integrity of information disclosure;improve cash options Institutions and the establishment of a share exchange mechanism that meets the internal value of the company.