SINOVAC Issues Statement Regarding Privy Council Judgment
Sinovac Biotech (NASDAQ:SVA) announced that the Judicial Committee of the Privy Council in London has made two significant rulings: first, confirming that the slate of nominees proposed by a group of shareholders at the 2018 Annual General Meeting was the rightfully elected Board, and second, declaring the Company's Rights Agreement invalid.
The ruling will be effective following a court order expected within a week. The outgoing Board has committed to ensuring a smooth transition with the new Board members while preserving shareholder value.
Since the 2018 Annual General Meeting, the company highlights its achievements, particularly its role in the global COVID-19 pandemic response, having delivered 2.9 billion vaccine doses, representing 22% of total global vaccinations during the pandemic period.
Sinovac Biotech (NASDAQ:SVA) ha annunciato che il Comitato Giudiziario del Privy Council di Londra ha preso due decisioni significative: innanzitutto, confermando che la lista di candidati proposta da un gruppo di azionisti durante l'Assemblea Generale Annuale del 2018 era il Consiglio di Amministrazione legittimamente eletto, e in secondo luogo, dichiarando invalida l'Accordo sui Diritti della Società.
La sentenza entrerà in vigore a seguito di un'ordinanza del tribunale prevista entro una settimana. Il Consiglio di Amministrazione uscente si è impegnato a garantire una transizione fluida con i nuovi membri del Consiglio, preservando il valore per gli azionisti.
Dal 2018, la società sottolinea i suoi successi, in particolare il suo ruolo nella risposta globale alla pandemia di COVID-19, avendo consegnato 2,9 miliardi di dosi di vaccino, che rappresentano 22% delle vaccinazioni globali totali durante il periodo pandemico.
Sinovac Biotech (NASDAQ:SVA) anunció que el Comité Judicial del Privy Council en Londres ha tomado dos decisiones significativas: primero, confirmando que la lista de nominados propuesta por un grupo de accionistas en la Junta General Anual de 2018 era la Junta legítimamente elegida, y en segundo lugar, declarando inválido el Acuerdo de Derechos de la Compañía.
La decisión será efectiva tras una orden del tribunal que se espera en una semana. La Junta saliente se ha comprometido a asegurar una transición suave con los nuevos miembros de la Junta mientras preserva el valor para los accionistas.
Desde la Junta General Anual de 2018, la compañía destaca sus logros, especialmente su papel en la respuesta global a la pandemia de COVID-19, habiendo entregado 2.9 mil millones de dosis de vacuna, lo que representa 22% de las vacunaciones totales a nivel mundial durante el periodo de pandemia.
시노백 생물 의학 (NASDAQ:SVA)는 런던의 특권 협의회 사법 위원회가 두 가지 중요한 판결을 내렸다고 발표했습니다. 첫 번째로, 2018년 연례 총회에서 주주 그룹이 제안한 후보자 명단이 적법하게 선출된 이사회임을 확인하였고, 두 번째로, 회사의 권리 계약을 무효로 선언했습니다.
이 판결은 일주일 이내에 예정된 법원 명령에 따라 유효할 것입니다. 퇴임하는 이사회는 새로운 이사들과 원활한 전환을 보장하고 주주 가치를 보존하기 위해 최선을 다하겠다고 다짐했습니다.
2018년 연례 총회 이후, 회사는 COVID-19 팬데믹 대응에서의 역할을 포함한 성과를 강조하며, 29억 회의 백신 접종을 수행했으며, 이는 팬데믹 기간 동안 전 세계 총 백신 접종의 22%에 해당합니다.
Sinovac Biotech (NASDAQ:SVA) a annoncé que le Comité Judiciaire du Privy Council à Londres a rendu deux décisions importantes : premièrement, confirmant que la liste de candidats proposée par un groupe d'actionnaires lors de l'Assemblée Générale Annuelle de 2018 constituait le Conseil d'administration légitimement élu, et deuxièmement, déclarant l'Accord de Droits de la Société invalide.
La décision sera effective suite à un ordre du tribunal qui est attendu dans une semaine. Le Conseil sortant s'est engagé à garantir une transition fluide avec les nouveaux membres du Conseil tout en préservant la valeur des actionnaires.
Depuis l'Assemblée Générale Annuelle de 2018, la société met en avant ses réussites, en particulier son rôle dans la réponse mondiale à la pandémie de COVID-19, ayant délivré 2,9 milliards de doses de vaccin, représentant 22% des vaccinations mondiales totales pendant la période de pandémie.
Sinovac Biotech (NASDAQ:SVA) gab bekannt, dass das Judikative Komitee des Privy Council in London zwei bedeutende Entscheidungen getroffen hat: Erstens wurde bestätigt, dass die von einer Gruppe von Aktionären auf der Hauptversammlung 2018 vorgeschlagene Kandidatenliste der rechtmäßig gewählte Vorstand war, und zweitens wurde die Rechtevereinbarung des Unternehmens für ungültig erklärt.
Das Urteil wird nach einer gerichtlichen Anordnung, die innerhalb einer Woche erwartet wird, wirksam. Der scheidende Vorstand hat sich verpflichtet, einen reibungslosen Übergang mit den neuen Vorstandsmitgliedern zu gewährleisten und gleichzeitig den Wert für die Aktionäre zu erhalten.
Seit der Hauptversammlung 2018 hebt das Unternehmen seine Erfolge hervor, insbesondere seine Rolle in der globalen Reaktion auf die COVID-19-Pandemie, da es insgesamt 2,9 Milliarden Impfdosen geliefert hat, was 22% der weltweiten Gesamtimpfungen während der Pandemie entspricht.
- Delivered 2.9 billion COVID-19 vaccine doses (22% of global vaccinations)
- Resolution of long-standing board governance dispute through Privy Council ruling
- Company's Rights Agreement ruled invalid by Privy Council
- Forced board transition could create temporary operational uncertainty
Insights
The Privy Council's ruling marks a major shift in SINOVAC's corporate governance, invalidating both the current board composition and the company's Rights Agreement. This judgment effectively overturns a 5-year status quo, dating back to the contested 2018 Annual General Meeting. The invalidation of the Rights Agreement is particularly significant as these agreements typically serve as anti-takeover measures, protecting management from hostile actions.
The ruling's implications are substantial: it mandates a complete board restructuring and removes key defensive mechanisms, potentially leaving the company more vulnerable to strategic moves from activist shareholders. The commitment to a "smooth transition" suggests awareness of the delicate nature of this leadership change, especially given SINOVAC's critical role in global healthcare infrastructure.
From a corporate governance perspective, this case sets an important precedent for shareholder rights in international companies listed on U.S. exchanges, particularly those incorporated in jurisdictions where the Privy Council serves as the final appellate court.
This ruling introduces significant market uncertainty for SINOVAC, despite its impressive operational achievements including the delivery of 2.9 billion COVID-19 vaccine doses. The mandated board change comes at a critical time when the company's market cap stands at
The timing is important as the global vaccine market transitions from pandemic response to endemic management. The forced leadership change could impact strategic decision-making and potentially affect ongoing business relationships and development programs. However, the company's established infrastructure and significant market share in global vaccinations (
SINOVAC’s outgoing Board members are committed to ensuring a smooth transition with the new Board members and to preserving SINOVAC’s significant value for the benefit of all shareholders.
Since the 2018 Annual General Meeting, the Company has a strong track-record of creating tremendous value for all shareholders, having implemented several innovative, life-saving, and value-creating initiatives, including SINOVAC’s leading role in combating the global COVID-19 pandemic delivering 2.9 billion doses or
About SINOVAC
Sinovac Biotech Ltd. (SINOVAC) is a
SINOVAC’s product portfolio includes vaccines against COVID-19, enterovirus 71 (EV71) infected hand-foot-mouth disease (HFMD), hepatitis A, varicella, influenza, poliomyelitis, pneumococcal disease, etc.
The COVID-19 vaccine, CoronaVac®, has been approved for use in more than 60 countries and regions worldwide. The hepatitis A vaccine, Healive®, passed WHO prequalification requirements in 2017. The EV71 vaccine, Inlive®, is an innovative vaccine under "Category 1 Preventative Biological Products" and commercialized in
SINOVAC was the first company to be granted approval for its H1N1 influenza vaccine Panflu.1®, which has supplied the Chinese government's vaccination campaign and stockpiling program. The Company is also the only supplier of the H5N1 pandemic influenza vaccine, Panflu®, to the Chinese government stockpiling program.
SINOVAC continually dedicates itself to new vaccine R&D, with more combination vaccine products in its pipeline, and constantly explores global market opportunities. SINOVAC plans to conduct more extensive and in-depth trade and cooperation with additional countries, and business and industry organizations.
For more information, please visit the Company’s website at www.sinovac.com.
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Sinovac Biotech Ltd.
Helen Yang
Tel: +86-10-8279 9779
Email: ir@sinovac.com
Source: Sinovac Biotech Ltd.
FAQ
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