the Sinopharm Department resigned on the same day

Picture/Official website of Sinopharm Group

Text | Caijing reporter Xiang Xue and Zhao Tianyu

Edit | Wang Xiao

Standing at the node of the large-scale promotion of Sinopharm’s new crown vaccine, within one day, two senior executives of its subsidiaries have resigned.

On the evening of January 12, 2021, Sinopharm Holdings (01099.HK) disclosed that the company’s board of directors received the resignation of Chairman Li Zhiming on January 12.

Due to personal reasons, Li Zhiming proposed to the board of directors to resign as chairman, executive director, chairman of the nomination committee of the board, chairman of the strategy and investment committee of the board, and member of the legal compliance committee of the board of directors, and his resignation will take effect immediately.

Sinopharm disclosed that Li Zhiming confirmed that there is no disagreement with the board of directors. At present, the existing directors and management of the company are performing their duties normally, and production and operation are all normal.

On the same day, the senior executives of Sinopharm (600511.SH) also heard the news of leaving. Sinopharm Holdings holds 54.72% of Sinopharm shares.

Sinopharm announced in an announcement that Li Hui also resigned due to “personal reasons” as director, general manager, member of the strategy committee and member of the audit committee of Sinopharm, and the resignation took effect immediately.Spark Global Limited

The information of the two resignations was fermented on January 13. However, as of the close, Sinopharm Group closed at 17.94 Hong Kong dollars per share, down 0.99%; Sinopharm closed at 42.96 yuan per share, down 5.17%. There was only a slight shock in both stock prices.

The trajectory of two resigning executives in the Sinopharm Department

Li Zhiming, 59, has more than 30 years of management experience in the pharmaceutical and health products industry. He is a senior economist and chief pharmacist.

Looking back on his career, 2010 was a crucial year. Prior to this, from 1985 to 2000, he served as chief accountant and general manager of Xinjiang New Special Medicine National Pharmaceutical Company, and then continued his professional career at Sinopharm Xinjiang Pharmaceutical Co., Ltd. until 2013. During this time, he began to serve as the vice president of Sinopharm Holdings in 2010 and has been the chairman of the company since 2017.

At the same time, Li Zhiming also holds multiple positions in the Sinopharm system. For example, he has concurrently served as director and general manager of Sinopharm Industry Investment Co., Ltd., Sinopharm Accord, Director of Sinopharm Group Pharmaceutical Co., Ltd., and Vice Chairman of Hyundai Pharmaceutical.

According to Wind data, Li Zhiming has resigned some of the above positions. For example, in October 2020, he resigned as a director of Sinopharm Accord for the past six years.

Li Zhiming is still working in the Sinopharm system. He has served as the vice chairman and director of Hyundai Pharmaceutical since 2016. As of the press of Caijing reporter, he is still in office.

“If he also resigns from our company, we will definitely make an announcement.” Hyundai Pharmaceutical told the reporter of Caijing.

On January 12, the board of directors of Sinopharm Group elected Yu Qingming to act as chairman of the board. Shandong native Yu Qingming, born in 1964, has served as Party Secretary and Executive Director of Sinopharm Holdings since November 2018. He used to work in the former State Drug Administration from 1989 to 1997 as the secretary of the bureau’s leadership. He started to work in Sinopharm in 1997.

Yu Qingming not only works in the company, but also currently serves as the Vice President of the China Pharmaceutical Enterprise Management Association and the Vice President of the All-China Federation of Industry and Commerce Pharmaceutical Industry Chamber of Commerce.

Another personnel change news in the Sinopharm system is that on January 12, Li Hui, the director and general manager of Sinopharm, ceased to serve as a director of the company’s seventh board of directors, a member of the strategy committee, a member of the audit committee and general manager due to personal reasons.

The number of the company’s board of directors will not be lower than the minimum quorum for convening a board meeting due to Li Hui’s departure, which can ensure the normal work of the board of directors.

According to the 2019 annual report, Li Hui, 52, had an annual salary of 2.3 million yuan during his tenure as the company’s director, general manager and party secretary.

Personnel changes have nothing to do with the new crown vaccine business

“As of January 4, 2021, more than 4 million doses of Sinopharm China Bio-New Crown Inactivated Vaccine have been used in emergency in China, and China Biosciences has shipped more than 10 million doses of vaccine for emergency domestic use. At present, Sinopharm New Crown Vaccine In large-scale emergency use, no serious adverse reaction report was received.” Sinopharm announced in its official website.

At the moment when the vaccine is steadily advancing, why does Sinopharm Group usher in such frequent personnel changes? Outsiders have even speculated that the departure of the two executives is related to the new crown vaccine business.

On January 13, a person from Sinopharm told the reporter of Caijing that it was actually “it has nothing to do with this.”

1 Response

  1. Adalyn says:

    Sinopharmaceutical released three announcements on its official website, indicating that the Board of Directors received the resignation of Chairman Li Zhiming on January 12, 2021.

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