China Merchants Energy Shipping to reduce capital, revise governance, buy property

China Merchants Energy Shipping (CMES) has called a second extraordinary general meeting for 2025 to approve several key proposals, including a reduction in registered capital following a share buyback. From November 2024 to May 2025, the company repurchased 69,267,851 A-shares, decreasing its total shares from 8,143,806,353 to 8,074,538,502. This results in a corresponding reduction in registered capital from 8,143,806,353 yuan to 8,074,538,502 yuan.

The company also plans comprehensive revisions to its Articles of Association to align with the 2024 Company Law and 2025 CSRC guidelines. These revisions include the cancellation of the Supervisory Board, with its functions transferring to the Audit Committee, and a restructuring of shareholder and board-related policies. The shareholding threshold for temporary proposals has been lowered from 3% to 1%, and new sections on controlling shareholders, actual controllers, and independent directors will be added.

Additionally, CMES proposes a related party transaction to acquire an office property in Shenzhen for self-use. The company intends to purchase 100% equity of Shenzhen Taiziwan Commercial Storage and Property Co., Ltd. for a transaction price of 71,551.80 yuan. The acquisition aims to consolidate operations, enhance brand image, and manage costs. All proposals are subject to shareholder approval, with certain items requiring a special resolution passed by two-thirds of voting shareholders.