The Impact on Stockholder Wealth of the Split Share Structure Reform
The split share structure reform is an issue unique to stock marrkets in China. This paper examines the relationship between the reform and the wealth of circulating shareholders. Our event study picks out 100 firms which have already carried the share reform in 2006 as samples. Empirical results demonstrate that the market reacts significantly to the share reform plan 10 days before theannouncement and Cumulative Abnormal Return (CAR) has been increasing step by step. But, after the announcement, CAR shows a down warding trend that lasts until 30 days after the announcement, and at that time, the impact of share reform on shareholders wealth is significantly negative. This paper indicates, compared with non-circulating shareholders whose wealth multiplies, circulating shareholders do not receive any significant return or compensation after the implement of the reform.
the Split Share Structure Reform Circulating Shareholders CAR
YANG Xiaolan MAN Zhen
College of Economics,Zhejiang University,P.R.China,310027
国际会议
The 5th International Annual Conference on WTO and Financial Engineering(第五届WTO与金融工程国际会议)
杭州
英文
460-466
2008-05-18（万方平台首次上网日期，不代表论文的发表时间）