Dong Mingzhu withdraws from the top ten shareholders | Gree will greet | 'Change' | Key period

According to the Shenzhen Stock Exchange data, Gree Electric Appliances recently gained approval from two executives. Gree's quarterly report disclosed the data at the end of March showed that Chairman Dong Mingzhu was no longer in the list of Gree's top ten shareholders. On May 31, Gree Electric Will the time of the change of the board of directors meet, is everything full of variables?

This year, the first time executives increase their holdings of Dong Mingzhu to withdraw from the 'top ten'

According to the data of the Shenzhen Stock Exchange, Gree Electric's directors, executives Huang Hui and senior management Tan Jianming recently increased their holdings of 5000 shares to 37,200 shares. Among them, Huang Hui increased its holdings of 5000 shares at the stock price of 44.88 yuan on May 2nd. Tan Jianming added 22,400 shares and 14,800 shares on May 2 and May 3, respectively, at the price of 45 yuan and 44.8 yuan.

Currently, Huang Hui is a director, vice president and chief engineer of Gree Electric, and Tan Jianming is vice president and deputy chief engineer of Gree Electric.

This is the first time Gree Electric Appliances has increased its holdings this year. Last year, Dong Mingzhu alone increased Gree Electric's shares in January and May.

In Gree, on the one hand, this year for the first time executives increased their holdings of company shares. On the other hand, Dong Mingzhu had already withdrawn from the list of top ten shareholders at the end of March.

The reporter noticed that in 2016, Dong Mingzhu added more than 10 shares of the company's shares. In the whole year of 2017, Dong Mingzhu added shares to the company three times. Since this year, Dong Mingzhu has not similarly increased his holdings. , It was also 'Extruded' among the top ten shareholders.

Gree's quarterly report released by Gree Electric shareholder structure shows that as of March 31, 2018, Gree Electric 10 of the top ten shareholders have no Dong Mingzhu, and in the whole year last year, Dong Mingzhu is the company's ninth or tenth largest shareholder.

At present, Gree Electric's ten largest shareholders are: Zhuhai Gree Group Co., Ltd., Beijing Hehai Guarantee Investment Co., Ltd., Hong Kong Securities Clearing Company Limited, China Securities Finance Co., Ltd., Qianhai Life Insurance Co., Ltd.-Haley, Central Huijin Asset Management Co., Ltd., China Life Insurance Co., Ltd. - Dividends - Individual Dividends - 005L-FH002 Shen, Gaochun Capital Management Co., Ltd. - HCM China Fund, National Social Security Fund 108, National Social Security Fund 101 combination.

Compared with the structure of the top ten shareholders at the end of last year, the organization 'National Social Security Fund's One-for-One Portfolio' is the newly entered shareholder. Dong Mingzhu is ranked tenth.

Does it affect Dong Mingzhu's re-election?

Dong Mingzhu's exit from the top ten shareholders may only be related to the increase in social security funds. However, Gree Electric is ushering in a crucial moment. The timeline for the change of Gree's board of directors is approaching.

Gree Electric's 2016 annual report shows that Dong Mingzhu’s term of office will end on May 31, 2018. On May 31, Gree Electric Appliances will hold a general meeting of shareholders.

It is worth noting that in August 2017, Huang Hui, the executive vice president and general engineer of Gree Electric was promoted to the position of chief executive officer. In the 2017 annual report recently published by Gree Electric Appliances, his duties changed back to executive vice president and chief engineer. .

Prior to this, Huang Hui was considered to have the potential to become the next 'head' of Gree Electric, but it seems that this possibility is not yet clear.

And Dong Mingzhu's withdrawal from the list of top ten shareholders at the end of March has brought uncertainties to his reappointment as chairman of Gree Electric.

According to Article 4.6.8 of Gree Electric's “Articles of Association” (promulgated in April 2017), the company’s board of directors, board of supervisors, and shareholders who separately or jointly hold more than 3% of the company’s shares have the right to nominate directors and candidates for shareholder representative supervisors; Article 5.1.2 stipulates: Directors shall be elected or replaced by the general meeting of shareholders for a term of three years. Upon expiration of the term of office of the directors, they may be re-elected.

According to this regulation, the company's largest shareholder, Gree Group, can recommend four Gree Electric Director candidates. The second largest shareholder has the right to recommend two board seats. There are also three independent candidates.

From this perspective, whether or not Dong Mingzhu can be re-elected depends to a large extent on Zhuhai Gree Group, which is the major shareholder of 18.36%. In the change of the board of directors, the decision of Gree Group will play a crucial role. Currently, Gree The group is 100% owned by the SASAC of Zhuhai City.

Insiders pointed out that in 2016, Gree Electric Appliances achieved total operating revenue of 110.113 billion yuan, an increase of 9.50% year-on-year; total profit was 18.531 billion yuan, a year-on-year increase of 24.29%, and a net margin of 14.10%; in 2017, the company achieved revenue of 1482 Billion yuan, a year-on-year growth of 36.92%; net profit of 22.4 billion yuan, a year-on-year increase of 44.87%. Such performance was a favorable factor for helping Dong Mingzhu to continue his reappointment. In the first quarter of this year, relevant departments of Zhuhai City had investigated Gree Electric Appliances in the first quarter of this year. The result is affirmative.

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