Source: Finance Association From a regulatory perspective, it is imperative to strengthen the equity governance of small and medium-sized rural banks.
This afternoon, the official website of the State Administration of Financial Supervision disclosed that it approved Guizhou Xingyi Rural Commercial Bank to increase its equity holdings in Anlong Xinglong Rural Bank and Qinglong Xing\’an Rural Bank to more than 50% through transfers.
A reporter from China Finance News noted that in the first year of this year, at least three rural commercial banks have increased their equity holdings in their rural banks in bulk.
It was also seen that the sponsoring bank took action and Guizhou Xingyi Rural Commercial Bank increased its holdings in two rural banks. Specifically, the Guizhou Supervision Bureau of the State Financial Supervision and Administration Bureau disclosed today that it agreed to the transfer of six shareholders including Xie Yong to Guizhou Xingyi Rural Commercial Bank Co., Ltd. It holds 5.5 million shares of Qinglong Xing\’an Rural Bank Co., Ltd.
After the transfer is completed, Guizhou Xingyi Rural Commercial Bank Co., Ltd. holds a total of 25.7 million shares of Qinglong Xing\’an Rural Bank Co., Ltd., with a shareholding ratio of 85.67%.
Another document showed that the regulatory authorities agreed to Guizhou Xingyi Rural Commercial Bank Co., Ltd.\’s transfer of 6.8 million shares of Anlong Xinglong Rural Bank Co., Ltd. held by Xie Yong and other seven shareholders.
After the transfer is completed, Guizhou Xingyi Rural Commercial Bank Co., Ltd. holds a total of 22.1 million shares of Anlong Xinglong Rural Bank, with a shareholding ratio of 73.66%.
A reporter from the Associated Press inquired about public reports and learned that Guizhou Xingyi Rural Commercial Bank is the lead banker of Qinglong Xing\’an Rural Bank and Anlong Xinglong Rural Bank.
This means that Guizhou Xingyi Rural Commercial Bank has increased its equity stake in two of its rural banks through transfers and further enhanced its control.
In the past year, at least three rural commercial banks have increased their holdings in bulk. Supervision has emphasized that rural banks should be led by the sponsoring bank. Today, a reporter from the Associated Press found that there have been many cases in the past year of the sponsoring bank increasing its equity stake in its rural banks, but similar It is rare for Guizhou Xingyi Rural Commercial Bank to increase its holdings in bulk, with only about three cases.
One of the rarer ones is Zhejiang Longwan Rural Commercial Bank, which made two moves in January and March, and has increased its holdings in five rural banks.
Specifically, on January 10, the regulatory website disclosed that Zhejiang Wenzhou Lucheng Rural Commercial Bank Co., Ltd. agreed to increase its holdings in Changshun Fumin Rural Bank, Nayong Fumin Rural Bank, Dafang Fumin Rural Bank, and Jinsha Fumin Rural Bank through transfers and other methods. Bank’s equity holdings in four other rural banks all exceeded 50% after the transaction.
Judging from the transaction details, Lucheng Rural Commercial Bank was also the main sponsor of these four banks.
On January 29, the regulatory website disclosed that Zhejiang Wenzhou Longwan Rural Commercial Bank Co., Ltd. agreed to transfer 11 million shares of Yingtan Yuehu Hengtong Rural Bank held by 2 legal person shareholders including Guangdong Guanghua Tianyu Investment Co., Ltd. and 8 natural person shareholders. After the transfer, Zhejiang Wenzhou Longwan Rural Commercial Bank Co., Ltd.\’s shareholding ratio increased to 51%; Zhejiang Wenzhou Longwan Rural Commercial Bank agreed to transfer 4 million shares of Hengfeng Hengtong Rural Bank held by Jiangxi Meizhi Technology Co., Ltd.
After the transfer, the shareholding ratio of Zhejiang Wenzhou Longwan Rural Commercial Bank Co., Ltd. increased to 52.7%.
On March 1, regulatory approval was granted to Zhejiang Wenzhou Longwan Rural Commercial Bank Co., Ltd. to transfer 5.5 million shares of Poyang Hengtong Rural Bank held by 10 natural person shareholders including Sun Mingwei.
After the transfer, Zhejiang Wenzhou Longwan Rural Commercial Bank\’s shareholding ratio increased from 40% to 51%; it was agreed that Zhejiang Wenzhou Longwan Rural Commercial Bank Co., Ltd. would transfer the shares held by five natural person shareholders including Jiangxi Jiucheng Industrial Co., Ltd. and Li Cheng Jiujiang Hengtong Rural Bank\’s 5.45 million shares. After the transfer, Zhejiang Wenzhou Longwan Rural Commercial Bank\’s shareholding ratio increased from 40% to 50.9%; it was agreed that Zhejiang Wenzhou Longwan Rural Commercial Bank Co., Ltd. would be transferred to 10 natural person shareholders including Zhang Xinyi After the transfer, the shareholding ratio of Zhejiang Wenzhou Longwan Rural Commercial Bank increased from 40% to 51%.
A reporter from the Associated Press noted that at the beginning of this year, the Rural Small and Medium-sized Bank Supervision Department of the State Administration of Financial Supervision and Administration stated in an in-depth study and implementation of the spirit of the Central Financial Work Conference that it would comprehensively strengthen the supervision responsibilities of rural small and medium-sized banks and promote the reform of rural small and medium-sized banks in an integrated manner. Promote high-quality development.
Strengthen the supervision of corporate governance of rural banks, increase the shareholding ratio of the sponsoring bank, and establish a corporate governance mechanism led by the sponsoring bank.
