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Disturbing the Peace: Anatomy of the Hostile Takeover of China Vanke Co

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  • Taurai Muvunza
  • Terrill Frantz

Abstract

Wang Shi, a business mogul who created his empire of wealth from scratch, relished in his fame and basked in the glory of his affluent business. Nothing lasts forever! After mastering the turbulent business of real estate development in his country and therefore enjoying a rising and robust stock price, China Vanke Co. Ltd ("Vanke") founder and Chairman of the Board of Directors, Wang Shi was suddenly presented with a scathing notice from the Hong Kong Stock Exchange: rival Baoneng Group ("Baoneng") filed the regulatory documentation indicating that it had nicodemously acquired 5% of his company and was looking to buy more. Vanke case became brutal and sparked national controversy over corporate governance and the role of Chinese government in capital markets.

Suggested Citation

  • Taurai Muvunza & Terrill Frantz, 2020. "Disturbing the Peace: Anatomy of the Hostile Takeover of China Vanke Co," Papers 2003.06019, arXiv.org, revised Jul 2020.
  • Handle: RePEc:arx:papers:2003.06019
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