FANHUA Announces Changes to Board of Directors

Rhea-AI Summary

FANHUA Inc. announced the resignation of Mr. Stephen Markscheid as an independent director due to personal reasons, effective on February 1, 2024. The company expressed gratitude for his 16 years of contributions and support.

GUANGZHOU, China, Feb. 02, 2024 (GLOBE NEWSWIRE) -- FANHUA Inc. (“FANHUA” or the “Company”) (Nasdaq: FANH), a leading independent financial services provider in China, today announced that Mr. Stephen Markscheid has tendered his resignation as an independent director of the Company due to personal reasons, effective on February 1, 2024. Accordingly, Mr. Markscheid will cease to be a member of each of the audit committee, the corporate governance and nominating committee and the compensation committee of the board of directors of the Company (the “Board”).

Mr. Yinan Hu, co-chairman and chief executive officer of the Company commented, “On behalf of the Board and the management, I would like to take this opportunity to extend our sincere gratitude to Mr. Markscheid for his valuable contributions and support during the past 16 years, and wish him all the best in his future endeavors.”

About FANHUA

Established in 1998, FANHUA is a leading comprehensive financial services provider in China, driven by digital technology and professional expertise, with a focus on delivering family asset allocation services throughout the entire lifecycle for individual clients, while also providing a one-stop support platform for individual agents and sales organizations.

As of September 30, 2023, the Company’s offline sales service network spans 31 provinces in China, comprising 673 sales service outlets, 91,098 agents, and more than 2,215 claims adjustors. Through proprietary technological tools such as “Lan Zhanggui”, “Fanhua Policy Custody System”, and “RONS DOP”, the Company is dedicated to supporting agents in providing convenient services to clients through technological means.

With an integrated online and offline approach, the Company has provided services to more than 12 million individual clients. For the nine months ended September 30, 2023, FANHUA facilitated RMB12.4 billion gross written premiums, with its net revenues reaching RMB2.6 billion, net income attributable to shareholders of RMB307.7 million and total assets of RMB4.0 billion.

Forward-looking Statements

This press release contains statements of a forward-looking nature. These statements, including the statements relating to the Company’s future financial and operating results, are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will”, “expects”, “believes”, “anticipates”, “intends”, “estimates” and similar statements. Among other things, management’s quotations contains forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about FANHUA and the industry. Potential risks and uncertainties include, but are not limited to, those relating to its ability to attract and retain productive agents, especially entrepreneurial agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in the Chinese insurance industry, its ability to compete effectively against its competitors, quarterly variations in its operating results caused by factors beyond its control and macroeconomic conditions in China and their potential impact on the sales of insurance products. Except as otherwise indicated, all information provided in this press release speaks as of the date hereof, and FANHUA undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although FANHUA believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by FANHUA is included in FANHUA’s filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F.

Source: FANHUA Inc.

Why did Mr. Stephen Markscheid resign from FANHUA Inc.?

Mr. Stephen Markscheid resigned from FANHUA Inc. due to personal reasons, effective on February 1, 2024.

Who is Mr. Yinan Hu?

Mr. Yinan Hu is the co-chairman and chief executive officer of FANHUA Inc.

What committees will Mr. Markscheid cease to be a member of?

Mr. Markscheid will cease to be a member of the audit committee, the corporate governance and nominating committee, and the compensation committee of the board of directors of FANHUA Inc.