INTRODUCTION
The objective of this report is to examine the effectiveness of board of directors of China Primary Energy Holding Limited in terms of the communication and other forms of engagement with shareholders. The following passage will discuss the topic above in three main areas that are the degree of compliance with Hong Kong GEM Corporate Governance codes, the impact of ownership structure on company’s performance and the effectiveness of communication with shareholders.
BACKGROUND INFORMATION
China Primary Energy Holding Limited (China Primary) is an investment holding company, engaging in the manufacture and sale of polyethylene (PE) pipes as well as trading of composite materials. It is listed on Growth Enterprise Market of the …show more content…
The CG Code sets out the principles of good corporate governance and two levels of recommendations that are code provisions and recommended best practices, for companies to voluntarily regulate themselves with a relatively high degree of flexibility. This report focuses on section E: Communication with …show more content…
And it is also mentioned in the corporate governance report that the chairman should be able to answer questions of shareholders in all general meetings (CG Code E.1.2 p. 37). Besides, there is a blank form online for members to fill if they cannot attend the meeting and need to find proxy. Referring to the Directors’ Attendance Record at Meetings, Ms. Ma Zheng, the chairman of the board, and Mr. Wan Tze Fan Terence, the committee chairman, did attend the general meeting held in 2012 and 2013 (China Primary 2012, 2013). However, they did not attend the general meeting during the year ended 31 December 2014 and 2015 (China Primary 2014, 2015) as required in the provision, which does not comply with the
The objective of this report is to examine the effectiveness of board of directors of China Primary Energy Holding Limited in terms of the communication and other forms of engagement with shareholders. The following passage will discuss the topic above in three main areas that are the degree of compliance with Hong Kong GEM Corporate Governance codes, the impact of ownership structure on company’s performance and the effectiveness of communication with shareholders.
BACKGROUND INFORMATION
China Primary Energy Holding Limited (China Primary) is an investment holding company, engaging in the manufacture and sale of polyethylene (PE) pipes as well as trading of composite materials. It is listed on Growth Enterprise Market of the …show more content…
The CG Code sets out the principles of good corporate governance and two levels of recommendations that are code provisions and recommended best practices, for companies to voluntarily regulate themselves with a relatively high degree of flexibility. This report focuses on section E: Communication with …show more content…
And it is also mentioned in the corporate governance report that the chairman should be able to answer questions of shareholders in all general meetings (CG Code E.1.2 p. 37). Besides, there is a blank form online for members to fill if they cannot attend the meeting and need to find proxy. Referring to the Directors’ Attendance Record at Meetings, Ms. Ma Zheng, the chairman of the board, and Mr. Wan Tze Fan Terence, the committee chairman, did attend the general meeting held in 2012 and 2013 (China Primary 2012, 2013). However, they did not attend the general meeting during the year ended 31 December 2014 and 2015 (China Primary 2014, 2015) as required in the provision, which does not comply with the