Zhejiang NHU to overhaul governance, launch employee stock plan

Zhejiang NHU Company's Board of Directors has approved revisions to its Articles of Association, effective July 1, 2024, to align with updated company law and improve corporate governance. Key changes include the elimination of the Supervisory Board, with its functions transferred to the Board's Audit Committee. The Board of Directors will now comprise eleven members, including one employee representative director. The company will also adjust certain clauses related to statutory representative authority and capital increase methods.

Concurrently, the company is implementing its Fifth Phase Employee Stock Ownership Plan, which involves acquiring company shares through repurchases and open market purchases totaling up to 52,230 million yuan. The plan will have a maximum duration of 24 months and a lock-up period of 12 months. This initiative aims to align employee and shareholder interests, fostering long-term stability and growth.

The company will convene its third extraordinary general meeting on December 26, 2025, to seek shareholder approval for these governance changes and the employee stock ownership plan, ensuring transparency through both in-person and online voting. Related amendments to various internal governance documents have also been approved by the Board.