Anti monopoly disputes during the introduction of mana will curb foreign hostile takeover

"Forthcoming" anti-monopoly law "of foreign mergers and acquisitions to form a hitherto unknown supervision, the introduction of the time will not be long."

Director of the research department of Commerce of foreign Jin Bosheng told the "First Financial Daily" interview yesterday, "anti monopoly law" will face tight restrictions on foreign mergers and acquisitions to a higher level, and the supervision of foreign institutions to make more specific provisions.

March 4th, Li Deshui, director of the National Bureau of statistics proposed to be wary of foreign mergers and acquisitions of Chinese enterprises". He said: "if you let the development, will be very dangerous."

Jin Bosheng believes that the current face of foreign mergers and acquisitions to solve the problem, improve the laws and regulations is the fundamental policy, especially for key enterprises, key sectors of foreign mergers and acquisitions to strengthen supervision.

March 13, 2003, the relevant departments have jointly issued the Interim Provisions on mergers and acquisitions of domestic enterprises by foreign investors, but the Interim Provisions is not complete.

Recently, the State Council announced the 2006 legislative work plan, the first "anti monopoly law" and strive to focus among the legislative projects promulgated within the.

"Joint venture, (foreign) on the request, within 5 years of joint ventures are not profitable. 5 years down, once the strength of China is not good, they put forward capital increase, gradually gained control." Jiangsu is a person in charge of machinery and equipment companies yesterday to the "First Financial Daily" foreign enterprises "no complaints".

This reporter has learned that such capital increase is actually a common method of foreign investment and joint ventures in china. An industry source, China's relevant departments have conducted a related research.

Concerned about the long-term strategy of multinational companies in China to the "Chinese industry news" editor in chief Yang Qing said, the multinational control of key industries, China sensitive industry strategic intention is quite obvious, the trend has been formed. "Now the Chinese government should intervene, the timing should be good. Although some mergers and acquisitions have been completed, but there are many in operation."

Lack of strategic managers in the industry." In Yang Qing opinion, this is leading to some of the industry is facing an important reason for the threat of foreign monopoly. She believes that the enterprise is only a specific enterprise development strategy, and the government has the responsibility to manage from a more macro level, and the healthy development of the industry as a whole strong strategic intervention.