Influence of Company's Capital Increase on Shareholders

Legal analysis: When the company increases capital and shares, the original shareholders' shareholding ratio is not restricted. There is no corresponding legal provision, but the change registration is carried out according to the actual shareholding ratio. Capital increase and share expansion means that an enterprise raises shares from the society, issues shares, new shareholders buy shares or original shareholders increase capital and share expansion, thus increasing the capital of the enterprise. Capital increase and share expansion of a limited liability company generally means that an enterprise increases its registered capital, and the increased amount is subscribed by new shareholders or by both new shareholders and old shareholders.

Legal basis: Article 101 of the Company Law of People's Republic of China (PRC), the shareholders' meeting shall be convened by the board of directors and presided over by the chairman; When the chairman is unable to perform his duties or fails to perform his duties, he shall be presided over by the vice chairman; If the vice chairman is unable to perform his duties or fails to perform his duties, more than half of the directors shall elect a director to preside over the meeting.

If the board of directors fails to perform or fails to perform the duties of convening the shareholders' meeting, the board of supervisors shall convene and preside over it in time; If the Board of Supervisors fails to convene and preside over the meeting, shareholders who have held more than 0/0% of the shares of the company/KLOC-0 for more than 90 consecutive days may convene and preside over the meeting by themselves.