Zhongnongfa Seed Industry to hold EGM on private placement, governance overhaul

Zhongnongfa Seed Industry Group Co., Ltd. has announced its Second Extraordinary General Meeting of Shareholders for 2025, scheduled for September 29, 2025, in Beijing. The meeting will address key proposals including the abolition of the Supervisory Board and amendments to the company's articles of association and procedural rules for general and board meetings. These governance changes align with requirements from the China Securities Regulatory Commission and State-owned Assets Supervision and Administration Commission.

A major focus of the meeting will be a private placement of A-shares to specific investors, China National Agricultural Development Group Co., Ltd. and China Huaxin Asset Management Co., Ltd., the company's controlling shareholder and its concerted action party. The proposed offering involves issuing 79,175,306 shares at a price of CNY 5.14 per share, aiming to raise up to CNY 406,961,078. The proceeds will be used to repay special appropriations from the state and supplement working capital. The private placement is subject to approval by the Shanghai Stock Exchange and registration with the CSRC.

Shareholders will also vote on a three-year (2025-2027) dividend distribution plan, a waiver for the private placement subscribers from making a tender offer, and authorization for the board of directors to handle all related matters. The equity registration date for the meeting is September 22, 2025.