China Office and State Office: Support listed companies to introduce institutional investors with a shareholding ratio of more than 5% as active shareholders

On May 26th, the China Office and the State Office issued the "Opinions on Improving the Modern Enterprise System with Chinese Characteristics". The opinions propose to give full play to the role of capital markets in improving corporate governance. Strengthen the integrity obligations of controlling shareholders to the company, and support listed companies to introduce institutional investors with a shareholding ratio of more than 5% as active shareholders. Strictly implement the system of independent directors of listed companies, and set up a special meeting mechanism for audit committees and independent directors with a majority of independent directors. Improve the information disclosure system in the field of listed company governance, and promote the scientific nature of decision-making management.