For More Information, Visit www.SaveSinovac.com
HONG KONG – Prime Success L.P., alongside its affiliates (“Prime Success”), holding a significant 8% stake in Sinovac Biotech Ltd. (NASDAQ: SVA) (“Sinovac” or the “Company”), today fired back with a public statement, responding to what it calls misleading statements from the Company regarding the upcoming Special Meeting of Shareholders, scheduled for July 8, 2025.
The full text of the statement is available at www.SaveSinovac.com.
In a letter to fellow Sinovac shareholders, Prime Success lays bare its concerns:
Prime Success, a sizable investor, expressed ongoing dissatisfaction with the current board (“1Globe Activist Board”)’s characterization of the stakes at the upcoming Special Meeting of Shareholders (the “Special Meeting”) slated for July 8, 2025. Referencing a previous communication, Prime Success highlights its belief that shareholders should not trust the 1Globe Activist Board:
1. Prime Success demands a dividend distribution for all shareholders.
Prime Success argues the 1Globe Activist Board’s stance lacks credibility. Why, they ask, would any investor be against a dividend? Prime Success vehemently refutes the implication that it is the reason dividends have not been distributed. They note that dividend decisions are not within their purview and that they are advocates for payouts for shareholders.
Under the leadership of a SAIF Partners IV L.P. (“SAIF”) nominated Board — composed of seasoned professionals with proven governance experience, deep operational insight, and a track record of building real, lasting value — they express confidence in breaking the cycle of internal conflict and litigation. The key, they say, is to oust the 1Globe Activist Board, which, they allege, prioritizes endless legal battles over the Company’s long-term success.
2. The 1Globe Activist Board is accused of manipulating shareholders by scheduling the dividend distribution date one day after the Special Meeting. Prime Success urges the Company to distribute dividends before the Special Meeting.
Prime Success decries the deliberate timing of the dividend, alleging it aims to create the false impression that shareholders must vote for incumbent board members to receive dividends. The upcoming Special Meeting is pivotal, and Prime Success is calling for a fair, pro rata distribution of dividends before the meeting so the focus can shift to its rightful purpose: electing a competent board.
3. Prime Success accuses the 1Globe Activist Board of distorting facts to elevate 1Globe while disparaging legitimate investors.
Prime Success questions the 1Globe Activist Board’s actions. They pose a key question: What have they contributed to the company in the last seven years?
According to Prime Success, vital investments by themselves and Vivo Capital, LLC, coupled with focused management efforts, paved the way for Sinovac’s development of CoronaVac. This pivotal initiative resulted in billions of doses delivered to over 60 countries, generating significant revenue and saving countless lives. Prime Success contends that without CoronaVac’s success, a sizable dividend distribution wouldn’t be an option.
In contrast, Prime Success frames 1Globe’s contribution as multi-jurisdictional litigation against Sinovac, which Prime Success views as a squandering of company resources. They state that the current board’s characterization of 1Globe’s and Prime Success’ respective contributions reveals its partisan nature.
4. Shareholders: Prime Success stresses the importance of the future of your investment in Sinovac.
Prime Success contends that Sinovac requires a board focused on managing the business. They believe the slate put forward by SAIF, with experienced industry representatives, is the best path forward.
They urge shareholders to vote for the future and for leadership that will benefit the company. Prime Success says it looks forward to continuing to make its case and encourages shareholders to review SAIF’s proxy materials before casting their vote at the Special Meeting on July 8, 2025.
Sincerely,
Prime Success, L.P.
About Prime Success, L.P.
Prime Success is an investment vehicle established by Advantech Capital specifically to invest in Sinovac and Sinovac Life Sciences; Advantech Capital is a private equity fund established in 2016 with a focus on innovation-driven growth opportunities in China.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250613698243/en/
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