Zhejiang Shibao Company Limited published an updated Articles of Association scheduled to take effect on November 7, 2025. This document covers the organizational framework, governance practices, and core regulations governing important procedures such as shareholder meetings, share capital management, and the duties of directors and senior officers.
According to the text, the total share capital stands at 822,632,384 shares, which include both A Shares and H Shares issued to domestic and offshore investors. The Articles of Association stipulate that major decisions, such as share reductions, repurchases, and mergers, must follow strict approval procedures in line with legal and regulatory requirements. It also outlines rules on external guarantees and asset transactions, underscoring the Board’s duty to ensure compliance with relevant provisions.
The revised governance structure emphasizes shareholder rights, mandates transparent decision-making at general meetings, and calls for the Board of Directors to consist of 11 members, including staff representatives and at least one-third independent directors. Detailed guidelines on director elections, board meeting procedures, and responsibilities toward shareholders and creditors reflect the company’s aim to maintain standardized and prudent management.
In addition, the Articles of Association detail requirements for profit distribution, specifying cash dividends as a priority whenever profits permit—following established policies and subject to approval at general meetings. The company’s mandatory reporting, procedures for settling disputes, and rules for public disclosures are also elaborated to foster a stable and transparent operating environment for all investors.
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