Financial Street Holdings proposes sweeping governance overhaul

Financial Street Holdings (SZSE:000402) is set to undertake a significant overhaul of its corporate governance, pending shareholder approval. The company's board of directors has approved a proposal to amend the Articles of Association and related subsidiary systems, aiming to comply with the latest requirements of the "Company Law," guidelines for listed companies, and directives on integrating Party building into corporate governance. Key changes include updates to the roles and responsibilities of the board, supervisors, and management, as well as revisions to procedures for shareholder meetings, director elections, and related-party transactions. As part of the overhaul, the company will disband its Supervisory Board with its functions being delegated to the Audit Committee under the Board of Directors. The key changes also incorporate additional requirements of the Shenzhen Stock Exchange and the China Securities Regulatory Commission (CSRC). These changes will require a two-thirds majority vote from shareholders at an upcoming meeting.