Muyuan Foods prepares for H-share listing with governance overhaul

Muyuan Foods, a major player in feed processing, pig breeding, and meat production, is set to undertake an H-share listing, evidenced by a comprehensive overhaul of its internal regulations. The company's board approved amendments to the Articles of Association and various governance policies, including those for information disclosure, internal reporting, and risk management. Key changes include adjusting the board composition from 7 to 8 directors and renaming "shareholder general meeting" to "shareholder meeting."

The company will issue H-shares, necessitating revisions to align with Hong Kong Stock Exchange listing rules. Muyuan Foods is also forecasting its 2026 daily related party transactions, anticipating substantial activity across procurement, services, and sales with various affiliated entities. These transactions are based on market pricing principles and are deemed fair and reasonable.

In preparation for its H-share listing, Muyuan Foods plans to secure up to 120 bn yuan in credit from financial institutions and will provide guarantees of up to 190 bn yuan for its subsidiaries' raw material purchases. The company also intends to engage in commodity futures hedging and financial derivatives trading, with maximum daily occupied amounts of 800m yuan and 700m yuan respectively, to mitigate price, exchange rate, and interest rate volatility.