Zhang Yuangzhong, a lawyer in Beijing, is leading a shareholders’ revolt against China Cosco Holdings, a subsidiary of Cosco Group, to remove Wei Jiafu from his post as the maritime group’s chairman, following the company’s repeated losses, according to SinoShip News.
If Zhang can get more than 10 percent of shareholders to call for a general shareholders meeting, then by Chinese law, China Cosco Holdings will be forced to call one within two months.
China Cosco faces a possible delisting from the Shanghai stock exchange if it posts a third consecutive year of losses in 2013. The company is likely to report a net loss of more than $1 billion for 2012.
Wei, 63, is already three years over the mandated retirement age for state-run firms.