Aoxin Q & M Dental Group Limited (1D4) has released detailed written responses to questions submitted by a shareholder in advance of its annual general meeting (AGM) and extraordinary general meeting (EGM) slated for Apr, 27 2026.
The Board and Nominating Committee said they remain satisfied that independent director Chong Eng Wee can meet his obligations despite holding seven other listed directorships and maintaining a legal practice. They added that guidelines on board commitments are set out in the company’s corporate-governance report and reiterated that no conflict arises from Chong’s independent directorship at Hong Kong-listed Quantum Healthcare, whose activities are based in Singapore while Aoxin Q & M operates mainly in Liaoning, China.
With chairman Chua Ser Miang to be re-designated as a non-executive, non-independent director and the planned retirement of two independent directors, the board acknowledged that only one independent director would remain temporarily. It aims to appoint two additional independent directors shortly; a candidate to chair the audit committee is currently undergoing due diligence.
Management roles were clarified: four deputy chief executive officers each oversee distinct functions—primary healthcare (clinical), primary healthcare (administrative), procurement/sales/distribution, and laboratory products—while general manager Bai Yi and deputy general manager Huang Zhenxing supervise overall operations and report directly to the board. The search for a group chief executive officer is ongoing.
Addressing regulatory matters, the company stated that China’s 2023 filing-based regime for offshore listings does not materially affect its existing red-chip structure. Excess Yi Bao medical-insurance claims of about 6.2 million renminbi identified at two hospitals were corrected; Yi Bao accounts for roughly 30 percent of primary-healthcare revenue, and additional compliance measures have been introduced.
On capital deployment, the board said surplus cash is parked in interest-bearing accounts and short-term deposits while it evaluates higher-yielding instruments and funding options for mergers and acquisitions. Although a November 2025 rights issue was oversubscribed, current plans favour private placements, citing share-price movements and regulatory considerations for asset-backed financing in China.
Regarding proposed performance share plan (PSP) awards to non-executive directors Dr Ng Chin Siau and Ms Ng Sook Hwa, the board emphasised that the pair remain non-executive, with awards linked to their strategic oversight contributions rather than day-to-day management. The non-conflicted directors and the PSP Committee maintain their recommendation to grant the awards, noting they are distinct from any incentives at parent company Q & M Dental Group (Singapore) Limited.
The company confirmed that former executive directors Shao Yongxin and Ong Siew Hwa are no longer substantial shareholders and therefore no longer subject to related disclosure requirements.
All responses are to be read in conjunction with the FY2025 annual report and the EGM circular issued on Apr, 10 2026.