Kunshan Kersen Science & Technology Co., Ltd. – Key Developments from the 3rd Extraordinary General Meeting and Market Activity
Kunshan Kersen Science & Technology Co., Ltd. (stock code 603626, ticker SH603626) recently concluded its third extraordinary general meeting (EGM) of 2025, held on 24 December at the company’s administrative building in Kunshan, Jiangsu. The meeting, convened by the board and chaired by Chairman Xu Jinge, employed a hybrid voting system that combined on‑site, name‑based ballots with online voting, fully complying with the Company Law, the company’s articles, and relevant regulatory requirements.
Attendance and Voting
- Shareholder turnout: 978 individuals (including shareholders and proxies) representing 26.28 % of the company’s voting‑eligible shares (144,911,500 shares).
- Voting method: Dual‑modal voting (physical and online), ensuring that all eligible shareholders could participate regardless of location.
- Board and supervisory presence: All seven directors, the three supervisory board members, and the board secretary attended, with additional senior executives in attendance.
Resolutions Adopted
No resolutions were rejected at this EGM. The following key amendments were approved by overwhelming majorities:
| Resolution | Summary | Vote Count (A‑Share) | % Agreement |
|---|---|---|---|
| 1. Removal of the supervisory board and amendment to the Articles of Association | The company will abolish the supervisory board and revise its corporate governance framework accordingly. | 144,553,808 votes in favor | 99.75 % |
| 2. Revision of governance and audit arrangements | Multiple sub‑proposals were adopted, covering the appointment of audit firms, the duties of independent directors, the external guarantee management system, and the cumulative voting implementation rules. | 144,053,940 to 144,024,440 votes in favor | 99.40 % to 99.39 % |
These changes reflect the board’s intention to streamline governance, reduce regulatory overhead, and align the company’s structure with its evolving operational needs.
Legal Opinion
Following the meeting, Shanghai Jin Tian Cheng Law Firm issued a legal opinion affirming that the EGM’s proceedings and the adopted resolutions complied with all statutory and regulatory requirements. The opinion is publicly available for reference.
Market Reaction and Financing Activity
The company’s shares closed at CNY 15.71 on 23 December 2025, within the 52‑week range of CNY 5.94 to CNY 18.49. Despite a negative price‑earnings ratio of –24.37—indicative of operating losses—the stock was among 97 equities that received net financing purchases for five consecutive days, as reported by iFinD and the Securities Times. Kunshan Kersen ranks in the top tier of financing‑buying stocks alongside firms such as Chunzhong Technology, China Mobile, and Shimei Star, suggesting sustained institutional confidence.
Contextualizing the Developments
Kunshan Kersen specializes in high‑precision metal component manufacturing, offering a comprehensive suite of processes including machining, grinding, stamping, annealing, and anodizing for alloys such as steel, titanium, aluminum, zinc, copper, and brass. Operating within the Information Technology sector on the Shanghai Stock Exchange, the company’s strategic governance overhaul aims to better support its technical and production capabilities in a competitive market.
The removal of the supervisory board and the adoption of new governance protocols are likely to:
- Accelerate decision‑making by concentrating authority within the board of directors.
- Improve audit and compliance oversight by clarifying the roles of independent directors and external auditors.
- Enhance transparency for investors, particularly important given the company’s current loss profile and high financing interest.
Overall, the 3rd EGM marks a decisive step for Kunshan Kersen Science & Technology Co., Ltd. in refining its corporate structure and reinforcing investor confidence amid a challenging financial landscape.
