Corporate Governance

Exchangeable bonds issued to solve problems of unloading non-tradable shares.

Affiliated transactions of insurance FIEs defined.

Government relaxes foreign investment in advertising enterprises.

MOFCOM delegates its FIE approval power to lower level departments.

The Circular states that, with certain exceptions, the investment in and establishment of commercial enterprises by foreign investors shall be subject to the examination of the provincial-level departments in charge of commerce.

CIRC monitors insurance company solvency through inspections.

The Guidelines set forth the requirements for engaging in the private equity investment trust business.

The revised Provisions delegate some of the approval power concerning the establishment of foreign-invested advertising enterprises to provincial-level government departments.

Shareholders that hold shares of listed companies may, through sponsorship of a sponsor, apply to the China Securities Regulatory Commission to offer exchangeable bonds.