Case Study: Major shareholders of multiple listed companies received warning letters from CSRC bureaus due to share reductions

Article 2, Paragraph 1: Under Articles 13 and 14 of the 'Measures for the Administration of Acquisitions of Listed Companies' (hereinafter the 'Acquisition Measures'), the phrases 'increase or decrease by 5%' and 'increase or decrease by 1%' refer to instances where an investor and its concerted parties’ shareholding ratio reaches or crosses an integer multiple of 5% or 1%. After an investor and its concerted parties’ shareholding ratio reaches (or exceeds) 5% of a listed company’s issued shares, whenever their shareholding ratio reaches or crosses an integer multiple of 5% or 1%, they must fulfill reporting and public announcement obligations under Articles 13 and 14 of the Acquisition Measures, and comply with the restriction prohibiting further trading of that listed company’s shares. If an investor and its concerted parties’ shareholding ratio is passively brought to or across an integer multiple of 5% or 1% due to changes in the listed company’s total share capital (e.g., new share issuances, share repurchases and cancellations, or conversion of convertible bonds), such investor and its concerted parties are exempted from reporting and public announcement obligations; however, the listed company shall disclose such information pursuant to Article 3 of this Guiding Opinion. What does 'reaching' an integer multiple mean? Simply put, when an investor’s shareholding ratio reaches or crosses an integer multiple of 5% (e.g., 10%, 15%, 20%, etc.) or 1%, reporting and public announcement obligations must be fulfilled, and trading must be suspended within the prescribed timeframe. In practice, disclosure formats for 1%-multiple thresholds tend to be flexible—approval suffices, and trading may continue without suspension. However, crossing a 5%-multiple threshold triggers stricter regulatory scrutiny: trading must be suspended for three trading days (not calendar days), and a public announcement must be made. When calculating shareholding ratios, shares held through ordinary securities accounts, margin securities accounts, and shares held via others’ accounts in the same listed company must be aggregated. If an investor’s shareholding ratio is passively brought to or across an integer multiple due to changes in the listed company’s own share capital (e.g., new share issuance, share repurchase and cancellation, or convertible bond conversion), the investor is exempted from fulfilling equity change reporting and announcement obligations; the corresponding disclosure responsibility falls on the listed company. Grandfathering principle: This Legal Application Opinion takes effect upon promulgation. For violations committed prior to its implementation but newly discovered thereafter, the principle of 'applying the old law unless the new law is more lenient' shall apply. Major shareholders (i.e., shareholders holding ≥5% of shares), actual controllers, and directors, supervisors, and senior management personnel must also comply with multifaceted requirements—including reduction methods, quantities, and advance disclosures—under the 'Interim Measures for the Administration of Share Reductions by Shareholders of Listed Companies' and other relevant regulations, not merely the equity disclosure obligation.

Market Panorama Assessment and Investment Strategy Analysis Report on China’s New Lilial Industry, 2026–2032

Section 3: Market Overview of Major Countries in Europe Section 4: Market Overview of Major Countries in the Americas Chapter 4: Overall Development Status of China’s New Lilial Industry Section 1: Analysis of Industry Scale in China, 2021–2025 Section 2: Analysis of New Lilial Production Volume I. Production Volume Analysis, 2021–2025 II. Production Volume Forecast, 2026–2032 Section 3: Analysis of New Lilial Market Consumption Volume I. Consumption Volume Analysis, 2021–2025 II. Consumption Volume Forecast, 2026–2032 Chapter 5: Import and Export Analysis of China’s New Lilial Industry, 2021–2025 Section 1: Import Analysis of the New Lilial Industry Section 2: Export Analysis of the New Lilial Industry Chapter 6: Advances in Domestic and International Production Processes and Technologies for New Lilial Section 1: Current Status of New Lilial Extraction Processes Section 2: Technological Gaps Between China and Overseas in New Lilial Development Section 3: Countermeasures and Recommendations for Advancing China’s New Lilial Technology Chapter 7: Regional Market Analysis and Marketing Strategy Research on New Lilial, 2021–2025 Section 1: Market Size Analysis of the North China Region Section 2: Market Size Analysis of the Northeast China Region Section 3: Market Size Analysis of the East China Region Section 4: Market Size Analysis of the Central-Southern China Region Section 5: Market Size Analysis of the Western China Region Chapter 8: Analysis of Price Trends in China’s New Lilial Industry Section 1: Price Analysis of China’s New Lilial Industry, 2021–2025 Section 2: Analysis of Factors Influencing New Lilial Product Prices Section 3: Price Trend Forecast for New Lilial, 2026–2032 Chapter 9: Industrial Chain Analysis of New Lilial Section 1: Industrial Chain Analysis of New Lilial I. Introduction to the Industrial Chain Model II. Industrial Chain Model Analysis for New Lilial Section 2: Upstream Industry Development and Its Impact Analysis I. Current Status of Upstream Industry Development II. Forecast of Upstream Industry Development Trends Section 3: Downstream Industry Development and Its Impact Analysis I. Current Status of Downstream Industry Development II. Forecast of Downstream Industry Development Trends Chapter 10: Competitiveness and Key Data Analysis of Leading Enterprises in the New Lilial Industry Section 1: International Flavors & Fragrances (Hangzhou) Co., Ltd. I. Basic Enterprise Information II. Analysis of Core Products III. Business Performance Analysis IV. Strategic Development Analysis Section 2: Green Bio-Technology Co., Ltd. I. Basic Enterprise Information II. Analysis of Core Products III. Business Performance Analysis IV. Strategic Development Analysis Section 3: Jiangxi Kemai Flavor Co., Ltd. I. Basic Enterprise Information II. Analysis of Core Products III. Business Performance Analysis IV. Strategic Development Analysis Section 4: Wuhan Geyuan Fine Chemical Co., Ltd. I. Basic Enterprise Information II. Analysis of Core Products III. Business Performance Analysis IV. Strategic Development Analysis Section 5: Nanping Qinghua Technology Co., Ltd.

Eurizon Capital Reduces Stake in International Flavors & Fragrances Inc.

14 hours ago

Eurizon Capital SGR reduced its stake in International Flavors & Fragrances Inc. by 18.2% in Q3. Despite the sale, IFF reported strong Q3 earnings and announced a $2.5 billion stock repurchase program.

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OFI Invest Asset Management Reduces Stake in International Flavors & Fragrances

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Douglas Lane & Associates LLC Sells 39,607 Shares of International Flavors & Fragrances Inc.