Jiudian Pharmaceutical gets buyback proposal from top exec

Hunan Jiudian Pharmaceutical (SZSE:300705) has received a proposal from its controlling shareholder, actual controller, and chairman, Zhu Zhihong, to repurchase company shares. The repurchase aims to protect shareholder interests, enhance investor confidence, and establish long-term incentives for employees through future equity incentive plans. The company plans to use its own funds and special loans to repurchase A-shares through centralized bidding. The repurchased shares will be used for future equity incentive programs. If the repurchased shares are not used up after 36 months, the remaining portion will be cancelled. The proposed repurchase price will not exceed 150% of the average share price in the 30 trading days before the board's review. The total repurchase amount is projected to be between RMB 100 million and RMB 150 million. Zhu Zhihong had already completed a previous share increase plan in the six months before the new proposal. The board considers the buyback feasible.