JC Master Updates | Attorney Shi Qiao, a partner at our office, was invited by the Inner Mongolia Listed Companies Association to deliver a specialized presentation on compliance in equity investments by listed companies.

On April 15, the Inner Mongolia Listed Companies Association hosted a specialized training session on “Equity Investment by Listed Companies.” The event featured a keynote address by Attorney Shi Qiao, a partner at our office, who provided an in-depth analysis—within the dual framework of the new Company Law and state‑owned asset supervision—of equity investment control, practical approaches to earn‑out agreements, and risk‑management strategies for more than thirty listed companies and state‑controlled investment institutions in the region.

This training program is closely aligned with the practical needs of the capital markets, integrating typical judicial precedents and real‑world market cases to deeply embed compliance considerations throughout the entire investment‑financing process. Attorney Shi Qiao delivered a presentation on risk management across the full lifecycle of equity investments, emphasizing that, in light of the new Company Law, listed companies must strictly adhere to compliance boundaries in their external investments, state‑capital deployment, and market‑oriented investment‑financing partnerships. He advised carefully structuring equity arrangements, valuation clauses, and voting‑rights provisions to strike a balance between capital support and operational autonomy. Additionally, he outlined the legal efficacy and procedural requirements for key elements of earn‑out agreements—such as shareholder‑based earn‑outs, corporate guarantees, and capital‑reduction buybacks—and underscored the importance of internal resolutions, evidence preservation, and closed‑loop processes. With regard to compliance in state‑owned investment, the session highlighted the core objective of preserving and enhancing the value of state assets, providing a detailed overview of regulatory frameworks governing state‑capital investment, trading, and exit strategies, as well as practical boundaries surrounding the transfer of state‑fund shares and exchange‑listed transactions. Striking a balance between market‑driven efficiency and compliance safeguards, the training also articulated the principle of “appropriate oversight—neither overstepping nor neglecting” in post‑investment management, focusing on fulfilling duties at critical junctures to achieve synergistic outcomes that align risk mitigation with corporate growth.
 

This training session featured concise, practical content and strong guidance, effectively addressing the compliance challenges faced by listed companies and state‑owned investment institutions in capital‑market operations, and earned unanimous praise from all participants. JC Master Law Office will continue to deepen its expertise in private equity investment, listed‑company compliance, state‑asset supervision, and equity‑dispute resolution, leveraging professional legal services to help market entities achieve steady, sustainable growth in the capital markets.