Shenwan Hongyuan plans corporate governance reforms, mid-year profit distribution

Shenwan Hongyuan Group is convening its first extraordinary general meeting for 2025 on October 31, 2025, to vote on key proposals aimed at enhancing corporate governance. These include revisions to the company’s Articles of Association, the Rules of Procedure for General Meetings, the Rules of Procedure for Board Meetings, and the Independent Non-Executive Director System. The changes align with new legal requirements and streamline decision-making processes. Notably, the company plans to abolish the Supervisory Board, with its functions to be assumed by the Audit Committee, and reduce the shareholding threshold for temporary shareholder proposals from 3% to 1%.

Shareholders will also consider a 2025 mid-year profit distribution plan. The plan proposes a cash dividend of 0.35 yuan per 10 shares, totaling 876,398,059.60 yuan, representing 20.46% of the company's net profit attributable to parent company shareholders for the first half of 2025. This distribution will be based on the total share capital of 25,039,944,560 shares (A and H shares) as of June 30, 2025. Additionally, the company confirmed the redemption and delisting of its short-term corporate bonds (fifth tranche) (Tranche 2) on October 13, 2025, with principal and interest totaling 1.4 bn yuan and a coupon rate of 1.73% over a 301-day term.