Harbin Electric Company Limited Announces Potential H Share Buyback and Articles Amendment

Harbin Electric Company Limited (Stock Code: 1133), a leading joint stock company incorporated in the People’s Republic of China, has issued a notice to convene a Domestic Shares Class Meeting on Friday, 22 May 2026 at 10:00 a.m. at its principal office in Harbin, Heilongjiang Province. This meeting is scheduled to follow immediately after the H Shares Class Meeting on the same date.

Key Resolutions to Be Considered

1. Authorization for H Share Repurchase:
   • The Board of Directors is seeking shareholder approval to repurchase up to 10% of the total issued H shares of the Company as of the date this resolution is passed.
   • The repurchase may be executed either as a one-off transaction or in tranches through the Stock Exchange at times deemed appropriate by the Board.
   • The authorization for this repurchase will be valid for 12 months from the date of the resolution, or until the first annual general meeting after its passage, or until revoked or altered by a subsequent special resolution, whichever occurs first.
2. Amendments to Articles of Association:
   • Subject to the successful passage and implementation of the repurchase mandate, the Board will be authorized to amend the Articles of Association.
   • These amendments will reflect changes in the total number of issued shares, share capital structure, and registered capital resulting from the H share repurchase.
   • Specific articles affected include Article 16 and Article 17 of the current Articles, as well as corresponding and relevant provisions in revised versions, including Article 5 and Article 20 as detailed in the meeting circular’s Appendix I.

Important Details for Shareholders

• Record Date and Book Closure:
  • The register of members will be closed from Tuesday, 19 May 2026 to Friday, 22 May 2026, during which no share transfers will be processed.
  • Only shareholders whose names are on the register as of Tuesday, 19 May 2026 will be entitled to attend and vote at the meeting.
  • Shareholders buying shares during the book closure period will not be entitled to attend or vote at the meeting.
  • To be eligible, all share transfers with supporting certificates must be lodged at the Company’s principal office in Harbin by 4:30 p.m. on Monday, 18 May 2026.
• Proxy Arrangements:
  • Shareholders entitled to attend may appoint one or more proxies (who need not be shareholders) to vote on their behalf.
  • Valid proxy forms and any relevant power of attorney or authority must be delivered to the Company’s principal office at least 24 hours before the scheduled meeting time.
  • Attendance in person at the meeting will revoke any previously submitted proxy.
• Identification: Shareholders and proxies must produce identification documents upon attending the meeting.

Potential Price-Sensitive Implications

• Share Buyback: The proposed buyback of up to 10% of H shares is a significant move that may signal management’s confidence in the company’s value, potentially supporting or boosting the share price. Share buybacks can lead to a reduction in shares outstanding, thereby potentially increasing earnings per share and benefiting remaining shareholders.
• Articles Amendment: Amendments to the Articles of Association following the buyback will formalize the changes in share capital structure, which may also have implications for investor perception and future corporate actions.

Board Composition

As of the date of the notice, the Board includes Executive Directors Mr. Huang Wei, Mr. Liu Qing-yong, and Mr. Du Xing-kai, along with Independent Non-Executive Directors Mr. He Yu, Ms. Niu Xiang-chun, Mr. Gao Yi-bin, and Mr. Li Xie-hua.

Conclusion

Investors should take note of these proposed special resolutions, particularly the potential H share buyback, as such corporate actions are generally considered price sensitive. Shareholders are encouraged to review the Circular dated 22 April 2026 for further details and to ensure all necessary steps are taken to participate in the upcoming meeting.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are advised to conduct their own due diligence or consult with professional advisors before making investment decisions based on the information provided above.

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