CHONGQING M&E (02722) announced that, in accordance with regulations issued by the Chongqing State-owned Assets Supervision and Administration Commission, an accounting firm may not provide consecutive financial audit services to the same enterprise for more than eight years. ShineWing, which has been the company's auditor since 2018, will reach the maximum permitted service term after completing the audit for the 2025 fiscal year, necessitating a mandatory rotation. Consequently, ShineWing will cease to serve as the company's auditor upon the publication of the 2025 annual report.
As a result, the company must appoint a new accounting firm for the 2026 fiscal year. Following the recommendation of the audit committee, the board of directors convened its first meeting of the seventh session on March 20, 2026. During the meeting, all directors reviewed and unanimously approved a proposal to appoint ZhongShen ZhongHuan as the domestic financial and internal control auditor, and ZhongShen ZhongHuan (Hong Kong) Fu Xin CPA Limited as the overseas auditor for a one-year term. The total audit fee is set at RMB 2.2 million. The appointment is subject to approval by shareholders through an ordinary resolution at the 2025 annual general meeting.
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