BAO PHARMA Proposes No 2025 Dividend, Eyes Board Reshuffle and Supervisory Board Abolition Ahead of 26 May AGM

Shanghai Bao Pharmaceuticals Co., Ltd. (BAO PHARMA) has called its annual general meeting (AGM) for 10:00 a.m. on 26 May 2026 in Shanghai. Shareholders will vote on 13 resolutions covering 2025 financial statements, board changes, capital mandates and a major overhaul of the governance structure.

Financial highlights for 2025 show revenue of RMB 49.20 million against an operating loss that culminated in a RMB 395.30 million net loss. Net cash outflow from operations reached RMB 180.00 million, while financing activities contributed a net inflow of RMB 998.00 million, lifting year-end cash and cash equivalents to RMB 1.24 billion. Total assets stood at RMB 2.22 billion; total liabilities were RMB 625.00 million, leaving shareholders’ equity at RMB 1.59 billion.

Given the annual loss, the board recommends no final dividend for 2025. The proposed 2026 budget will focus on commercialisation, clinical development and daily operations. Independent non-executive director fees are set to rise to RMB 240,000 per annum from RMB 150,000.

Shareholders will vote on reappointing Ernst & Young as auditor for 2026 with a fee cap of RMB 2.85 million. The meeting will also decide on general mandates to issue up to 20% of the Company’s share capital and to repurchase up to 10% of H-shares outstanding.

Governance changes are central to the agenda. The term of the first board ends in July 2026; 10 director nominees—three executive, three non-executive and four independent—are up for election. Separately, the Company proposes abolishing its Board of Supervisors in line with the amended PRC Company Law, transferring supervisory functions to the Audit Committee, and introducing an employee-representative director elected at the staff congress.

Other items include approval of updated articles of association, revised corporate policies and a suite of procedural rules to align with the new governance framework. Shareholders of record as of 26 May 2026 are eligible to attend and vote. Proxy forms must be lodged no later than 24 hours before the meeting.