Expected Difference, Equity Nature and the Corporate Control Agreement Transfer Failed—the Evidence from China

Abstract

This paper has researched the issue of corporate control transfer failed in china capital market, which is completely different from existing studies in corporate control transfer field. The conclusion has shown that corporate control transfer very likely fails when there is a great difference between two sides of deals. And the equity nature is another affection factor. The corporate control transfer is not likely to fail when the equity nature is state-owned. The conclusion implies that we should make more improvement for institutions of corporate control transfer, because of the lack of market voluntary trade rule in china capital market.