On December 20, the KPMG Climate Change and Sustainability Summit & the 2nd KPMG China ESG 50 List • 2024 Awards Ceremony was held in Suzhou. Sino Biopharm stood out from 159 participating companies for its outstanding performance in corporate governance and was selected for the “ESG 50 List • 2024 Corporate Governance Pioneers”

The KPMG ESG 50 list, in collaboration with government-level partners, gathers and recognizes enterprises from various industries in mainland China and Hong Kong that have demonstrated outstanding practices and innovative achievements in the ESG field. Among them, the "Corporate Governance Pioneer List" aims to honor enterprises with outstanding performance in areas such as governance structure, decision-making mechanisms, internal controls, and shareholder rights protection. This selection represents the full affirmation of the Group's corporate governance level by professional institutions.

Sino Biopharm is committed to building excellent corporate governance, continuously enhancing the diversity, independence, and professionalism of its governance system, and using this as the cornerstone for sustainable development. The Group has formulated and strictly implements the "Board Diversity Policy", which includes, but is not limited to, diversity requirements regarding gender, age, educational background, industry experience, and professional skills. Currently, female directors (including the Chairwoman of the Board) account for nearly 30% of the Group's Board of Directors, and board members possess extensive knowledge and experience in areas such as pharmaceuticals, corporate governance, finance, and risk management. At the same time, the Group continuously enhances the independence of its Board of Directors, with clear provisions on the qualifications and performance methods of independent directors, and the proportion of independent directors is also continuously increasing. In recent years, under the effective operation of the governance system centered on the Board of Directors, the correctness of the Group's major decisions has been ensured, and the company's development has demonstrated high quality and resilience amidst complex and changing internal and external environments and challenges.

In the field of ESG governance, the Group has established a three-tier management system comprising the Board of Directors, management, and the executive level. Through scientific annual planning and division of responsibilities, it fully stimulates the action and creativity of ESG management in all fields and at all levels. Under the forward-looking guidance of the Board of Directors, the Group has taken the lead in the Chinese pharmaceutical industry by promoting multiple innovative ESG governance initiatives, including but not limited to carbon neutrality goals and pathway planning, employee stock ownership plans, responsible supply chain construction, and climate risk response. While advancing the Group's overall ESG governance to an excellent international level, it also contributes to the joint improvement of the sustainable development level of the Chinese pharmaceutical industry.

In the future, Sino Biopharm will continue to use high-level corporate governance to integrate ESG into every aspect of its operations, earnestly practicing the Group's mission of "improving the quality and protecting the dignity of human life". It will seek health and well-being for more patients and contribute to the sustainable development of the industry and even the nation.