Research On The Applicable Scope Of Share Repurchase Of Listed Companies

Share buyback of listed companies is the behavior that listed companies use the funds they get through various ways to purchase the stocks that are circulating in the stock market.Share repurchase system is of great significance to the operation of the capital market,and it has also been highly praised by the world’s capital markets.Since the 1980 s,share repurchase system has developed rapidly in the world.Since the establishment of company law in 1993,share buyback has a history of more than 20 years.However,compared with foreign mature capital markets,there are still many restrictions on the scope of the share repurchase system in China,and there are many loopholes in the supporting regulatory measures,and its operability in practice also needs to be improved.After the revision of the company law in 2018,the scope has been relaxed and the relevant supporting measures have been improved,but there are still many areas to be studied and improved in general.Based on the current situation of the legislation of the stock repurchase system of Listed Companies in China,this paper analyzes the relevant systems and practices at home and abroad,and puts forward suggestions for the shortcomings of our country.The structure is as follows:In the introduction part,firstly,the background and significance of the topic are described.In the background of the topic,it analyzes the practical experience of share buyback of listed companies at home and abroad.This paper expounds the significance of the topic from the theoretical and practical aspects.At the same time,the research status of stock repurchase system at home and abroad is analyzed.The new company law has greatly adjusted the "Share buyback",which is an example of the upsurge of carrying out the practice of buyback,which has aroused the attention of the theoretical circle and the legislature.The scope of application of share repurchase of listed companies also has anirreplaceable influence on the capital operation of the company.The first part describes the basic issues of share buyback and the relevant legislation in China as well as the specific practice in the capital market.Starting from the foundation,this paper briefly explains the specific meaning of share buyback and its scope of application,summarizes the distinction between share buyback and related concepts,so as to clarify our research object,and briefly expounds the four main ways of share buyback in domestic and foreign capital markets.It can be seen from the long-term practice that the share buyback system has an important positive significance in the development of enterprises and social economy.It is in line with the requirements of economic development to continue to adhere to the improvement of the share buyback system.However,the negative impact caused by the system is also worthy of our attention,and the existence of problems also points out the direction for us to improve the system.This paper analyzes the legislation and improvement process of the share buyback of Listed Companies in China.Taking the amendment of the company law of 2018 as the time limit,it collects and sorts out the development and changes of the legal license application scope and relevant supporting regulatory measures of the share buyback before and after the new regulations are issued,and analyzes its development characteristics.At last,the paper summarizes the practice of share repurchase system in the capital market since its birth in China.In the second part,through the analysis and collation of the data,the author studies the evolution of the applicable scope of share buyback in the legislation of extraterritorial countries（regions） for many years.Using historical analysis and other analysis methods,this paper analyzes the legal regulation and historical development process of the scope of application of share buyback in common law countries（regions） and civil law countries from the horizontal and vertical directions.This paper summarizes the characteristics of legal regulations on Sharebuyback in the United States,Britain,Japan,Germany and Chinese Taiwan.As the first country to establish share repurchase system,the United States has relatively complete system after years of experience accumulation and precipitation.In particular,its regulatory measures for the capital market can give us great help in improving our regulatory system.The development process of share repurchase system in Japan,Germany and Chinese Taiwan is from "tight" to "loose".Similar to our country,Germany and Japan are both permitted by exception in legislation and still keep the attitude of prohibition in principle.Their legislation mainly focuses on the monitoring of the process,and relatively liberalizes its application,from which China can get enlightenment.Finally,it summarizes the practice of share buyback in extraterritorial countries and regions.The third part analyzes the problems existing in the current legislation of the application scope of share repurchase system.The company law of 2018 has made significant adjustments to the content of share buyback.It is a breakthrough in the development history of share buyback of Listed Companies in China.With the development of practice,the problems are more and more obvious.At present,the main problems are that the application of the system is too narrow;there are fuzzy areas in the relevant provisions,not clear enough and other problems caused by the new law.The measures to deal with the problem should be adjusted in the process.Based on the current system and national conditions,we should constantly improve the scope of application and regulatory system of share buyback of listed companies to ensure the scientificity and rationalization of the law.The fourth part is on the basis of the previous analysis of the system of our country to improve the legislative proposals.It includes three aspects: first,the reasonable improvement of the legal scope of application.The six situations stipulated in the current legislation can not meet the needs of the development of the capital market in the future.In this part,suggestions are put forward,which can be relaxed in four specific situations.Second,the current law and the specific application of share buyback provisions are more general and contradictory between the terms,in this paper put forward specific solutions.At last,the paper gives some suggestions on how to improve the security measures of share repurchase of listed companies.