State-owned enterprises transformed into limited liability companies or state-owned enterprises?

Legal analysis: whether a state-owned enterprise is still a state-owned enterprise after being reformed into a limited liability company depends on the composition of shareholders, if shareholders are still state-owned capital or state-owned; Shareholders who have natural persons or go to non-state-owned capital are no longer state-owned enterprises, and those who have state-owned capital are state-controlled or shareholding enterprises.

Legal basis: People's Republic of China (PRC) Company Law.

Article 3 A company is an enterprise legal person, which has independent legal person property and enjoys legal person property rights. The company is liable for its debts with all its property.

Shareholders of a limited liability company shall be liable to the company to the extent of their subscribed capital contribution; Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.

Article 64 The provisions of this section shall apply to the establishment and organization of a wholly state-owned company. Where there are no provisions in this section, the provisions in the first and second sections of this chapter shall apply.

A wholly state-owned company as mentioned in this Law refers to a limited liability company which is solely funded by the state and authorized by the State Council or the local people's government to perform the responsibilities of the investor.