THE STUDY OF ISSUEANCE OF CONVERTIBLE BOND SYSTEMS AND REGULATIONS

• Main Authors: LEE,SHU-NUAN, 李淑暖
• Other Authors: CHANG,CHUNG-YUEH
• Format: Others
• Language: zh-TW
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/23814012360590667988

碩士 === 國立臺北大學 === 會計學系 === 93 === This research has collected and sorted issuing regulations, literatures, issuing and trading status of convertible bonds, in order to discuss underlying problems that authority may raise to enhance convertible bond market. The followings are some suggestions for the related authorities: 1. The authority should enhance the supervision on overseas financing cases. For the change of financing channels and structures of issuing companies, it should check thoroughly the underlying reasons to ensure whether capital inflow has indeed occurred and if there is abnormal subscription of bonds. 2. Issuing companies should have their own prospective fund raising plans. It is suggested that authority removes the minimum fund raising constraint of overseas financing and allows enterprises to assess their own decisions. 3. To cope with the investment and development of domestic industries in Mainland China, authorities should reconsider restrictions on their fund management eirher through domestic or through overseas in order to normalize and maximize the efficiency of enterprises’financing plan. 4. Refer to the regulations to adjusting conversion price for cash dividend of Euro Convertible Bonds; domestic convertible bond should follow the similar regulations. 5. It is necessary for authorities to require issuers to state clearly whether issuers “should” or “need” to reset the conversion price on the prospectus while reviewing issuers’ applications. Also authorities should oversee whether issuers comply the rules accurately to facilitate decision making of investors and capital market management. 6. In the need of market supervision, authorities need to amend related regulations and provide monitoring procedures for CBs’ issuing terms and shares cancellation that relate to investors’ rights. Hopefully, issuing companies and underwriters can follow these regulations and rules, so as to decrease the dispute and cost for future market supervision.