When we refer to corporate shares, we first need to understand its definition. Corporate shares, simply put, are shares held by corporate legal persons or public institutions and social organizations with legal personality. These organizations invest their legally disposable assets in the unlisted tradable equity portion of the shares, thus forming corporate shares.
There are various forms of corporate shares. For example, the promoters and other legal persons of various natures can subscribe for shares with their own funds;The original collective enterprise may convert its assets into shares after revaluation;When the original enterprise is reorganized into a joint-stock company, the excess unpaid employee incentives** of the original enterprise can be converted into common shares of employees, and the ownership of these shares still belongs to the unit, and individuals have no right to use, occupy and dispose of them. In addition, certain banks or other financial institutions that can hold shares may also invest in the shares, in accordance with the relevant regulations.
In China, corporate shares are held by corporate legal persons or other organizations with legal personality. Ownership of these ** is clearly vested in these organizations and not in individual shareholders. Unlike tradable shares held by individual shareholders, corporate shares are generally not freely traded on the open market. Their main holders are enterprises or institutions, so their transfers, transactions and pledges are subject to stricter regulation and control.
From the perspective of equity structure, corporate shares are an important part of China's joint-stock enterprises. But in the process of its development, it has also experienced many challenges and changes. For example, in 1992, China opened a trading system for corporate shares, which provided a special circulation market for corporate shares. However, due to some problems in the actual operation process and conflicts with the ** Law implemented later, the system has ceased to operate.
In addition, when it comes to the types of corporate shares, we need to know that if the legal person is a state-owned enterprise, public institution, or other state-owned unit, then the corporate share is called a state-owned corporate share;If the assets of a non-state-owned legal person are invested in the shares formed by a listed company, it is called a social legal person share.
In summary, corporate shares represent the ownership share of an enterprise or an organization with legal personality in a joint-stock company. Its existence and circulation are subject to specific regulations and restrictions, which ensure the stability of the enterprise and the sustainable development of the enterprise.