How does the government buy foreign-funded private zombie enterprises

The government's guidance is as follows:

(1) merger: one or more enterprises (merged enterprises) merge all their assets, creditor's rights and debts into existing or newly established enterprises (merged enterprises), and shareholders of the merged enterprises exchange equity or non-equity payment for the merged enterprises, thus realizing the legal merger of two or more enterprises.

(II) Acquisition of equity (shares): The acquiring enterprise purchases the equity (shares) of the acquired enterprise and becomes the controlling shareholder when it reaches more than 50% (excluding 50%) of all the equity (shares) of the acquired enterprise. Other acquisition and holding situations shall be studied and dealt with separately in accordance with relevant laws and regulations.

(3) Acquisition of assets: 1. A transaction in which an enterprise (transferee) acquires the substantive operating assets of another enterprise (transferor). 2. With the approval of the state-owned assets management department of the district government, regional state-owned companies first acquire, operate independently, lease or lend the property at a reasonable market price, or sell it to relevant transferee enterprises with the approval of the state-owned assets management department of the district government.

(4) Bidding according to law: The enterprise bids for the assets of the acquired enterprise through public auction according to legal procedures.

(5) Other forms: other legal forms of merger and reorganization (such as debt restructuring, division, bankruptcy, etc.) approved by the district government. ).

The following circumstances are not regarded as equity (shares) or asset acquisition:

1. The acquired enterprise becomes the controlling shareholder of the acquired enterprise through cross-shareholding with the acquired enterprise.

2. The acquiring enterprise or individual acquires the equity (shares) at a free or unreasonably low price and becomes the controlling shareholder of the acquired enterprise.

3. The affiliated enterprises of the acquired enterprise acquire the equity (shares) and assets of the acquired enterprise.