Full Press Release Details
SINOVAC Board of Directors Urges Shareholders
to Vote the WHITE Proxy Card
"AGAINST" the Misguided Proposals to Remove SINOVAC's Current Board
Reaffirms Commitment to Declaring Dividends
and New Dividend Policy
Underscores Pledge to Work with NASDAQ Toward
Continues to Diligently Defend Against the Dissenting
Investor Group's Multi-Jurisdictional Legal
Tactics to Block the US$55.00 Per Common Share Cash Dividend
BEIJING, June 30, 2025 - The Board of Directors of SINOVAC
Biotech Ltd. (NASDAQ: SVA) ("SINOVAC" or the "Company"), a leading provider of biopharmaceutical products in China,
today sent a letter to shareholders ahead of the Special Meeting of Shareholders to be held on Wednesday, July 9, 2025 at 8:00 a.m. China
Standard Time (Tuesday, July 8, 2025 at 8:00 p.m. Atlantic Standard Time).
The full text of the letter follows:
Dear SINOVAC Shareholder,
It is time to act. Your vote at the upcoming Special Meeting of Shareholders
will shape SINOVAC's future.
called this Special Meeting to reconstitute a remnant of the Former Board that the UK Privy Council deemed to be "Imposters"
in its final, non-appealable January 2025 ruling. Proposing this slate (the "Reconstituted Imposter Former Board Slate")
is the latest scheme by Advantech/Prime Success ("Advantech/Prime"), Vivo Capital (together, the "Dissenting Investor
Group"), and other members of the Former Management Buyout Consortium to seize control of SINOVAC at the expense of common shareholders.
While your current SINOVAC Board has been delivering on its promises
to restore fairness and deliver value to all SINOVAC shareholders, the Dissenting Investor Group has been continuing its attempt to derail
our progress through misleading rhetoric, baseless claims and frivolous legal actions. Their self-serving strategies pose a direct threat
to the value of your investment and the future of SINOVAC. The facts speak for themselves:
COMMITMENT TO DECLARING DIVIDENDS
Since it was installed by the Privy Council ruling, and in accordance
with Antiguan law, in just four months, the current SINOVAC Board has:
| Declared a US$55.00 per common share special cash dividend due to be paid on July 7, 2025. | ||
| Announced plans for an additional US$11.00 per common share cash dividend, contingent on the cancellation of the unauthorized PIPE shares acquired by Advantech/Prime and Vivo Capital. | ||
| Decided to declare a second special cash dividend of US$19.00 per common share, with the potential of an additional US$3.73 per common share if the PIPE shares are cancelled. |
the Imposter Former Board failed to declare any dividends to common shareholders during the seven years it presided over SINOVAC, while
draining cash from subsidiaries for itself to the exclusion of common shareholders. Today, the Imposter Former Board blames
litigation during 2018-2024 as the reason it couldn't pay dividends, but ironically, the litigation it tried to use as an excuse
did not prevent the Imposter Former Board's cronies from pocketing more than US$2 billion in dividends from our operating subsidiary.
In a statement from the Company's 2023 20-F filed in April 2024, the Board stated it did not "have any present plan to
pay any cash dividends on Sinovac Antigua's shares in the foreseeable future." The Imposter Former Board did not say the non-dividend
policy was because of litigation. However, the onslaught of baseless, multi-jurisdictional lawfare by the same bad actors did not prevent
the current SINOVAC Board from declaring the US$55.00 per common share cash dividend. Their lawsuits, intended to interfere with the dividend
payout to all valid shareholders, have been defeated in New York and Hong Kong.
The Reconstituted Imposter Former Board Slate, while paying lip service
to endorsing our US$55.00 per common share cash dividend, haven't yet supported the additional dividends we've declared or
our new dividend policy. Their sudden interest in dividends is nothing more than a hollow promise. We believe they would seek to privatize
the Company again at below market prices and deprive shareholders of their rightful cash distributions.
Shareholders should be asking the Reconstituted Imposter Former Board
Slate this question: will you publicly support the current SINOVAC Board's plans for additional cash dividends and the dividend
policy it recently adopted?
RESUMPTION OF GOOD RELATIONS WITH NASDAQ AND REGULATORS
The current SINOVAC Board has done significant work to unwind the seven
years of compliance shortcomings that occurred under the Imposter Former Board, which directly led to the NASDAQ trading halt. This work
| Engaging senior NASDAQ officials to regain compliance, resume trading and support the US$55.00 per share special cash dividend. | ||
| Launching a formal exploration of a future listing on the Stock Exchange of Hong Kong to promote liquidity, mitigate geopolitical risk and maximize shareholder value. | ||
| Tasking its Audit Committee with conducting a process to evaluate and select a new independent registered public accounting firm and end the revolving door of auditing firms under the Imposter Former Board. |
the Reconstituted Imposter Former Board Slate is responsible for the very issues they now claim they'll resolve.
Their unlawful actions triggered the 2019 NASDAQ trading halt and forced the resignation of Grant Thornton, SINOVAC's former auditor,
due to sham transactions.
PROTECTING VALID SINOVAC SHAREHOLDERS AND PAYING DIVIDENDS IN THE
FACE OF CONTINUOUS LAWFARE WAGED BY ADVANTECH/PRIME AND VIVO CAPITAL
The current SINOVAC Board is committed to fighting the self-serving,
continuous and wasteful lawfare from the Dissenting Investor Group, which includes filing suits in New York and Hong Kong, and seeking
injunctions designed to interfere with the payment of the US$55.00 special cash dividend to all common shareholders.
In response to this self-serving lawfare strategy, the current SINOVAC
| Vigorously defended our position and prevailed against Advantech/Prime in New York and Hong Kong . | ||
| Committed to fighting to protect valid shareholders and redistribute funds that were improperly allocated to the invalid PIPE shareholders. |
the Dissenting Investor Group continues to talk out of both sides of their mouth - pretending they are in favor of dividend payments
while filing intentionally vague lawsuits intended to deprive common shareholders of rightful dividend payments. The Reconstituted
Imposter Former Board Slate would allow these actions to continue unchecked.
STRATEGIC REALIGNMENT FOR SHAREHOLDER VALUE CREATION
In addition to dividends, the current SINOVAC Board is taking the necessary
steps to correct the injustices of the past, position the Company for a brighter future and enhance governance by:
| Accelerating the resumption of trading on NASDAQ and exploring future listings on other exchanges. | ||
| Planning an annual meeting of shareholders in the second quarter of 2026 to nominate a full slate of highly-qualified and independent directors. | ||
| Executing a global growth strategy to expand SINOVAC's business in China and globally, leveraging our position as a leading provider of vaccine products. |
during the seven years it presided over the Company, the Imposter Former Board demonstrated a pattern of self-dealing that allowed Advantech/Prime,
Vivo Capital and their cronies to loot billions of dollars from SINOVAC while common SINOVAC shareholders received nothing.
During that time, the Imposter Former Board approved an invalid PIPE transaction, which is in the process of being unwound, gifted Advantech/Prime
and Vivo Capital shares of SINOVAC's operating subsidiary, granted shares to select minority shareholders, doled out excessive bonuses
to the SINOVAC management team, and enabled non-arms length investments by SINOVAC of nearly US$100 million in Vivo Capital Funds. Shareholders
should ask themselves: do you think the Imposter Former Board Slate would really have all SINOVAC shareholders' best interests in
YOUR VOTE IS IMPORTANT
The Special Meeting of Shareholders (the "Special Meeting")
will be held on Wednesday, July 9, 2025 at 8:00 a.m. China Standard Time (Tuesday, July 8, 2025 at 8:00 p.m. Atlantic
Your vote determines SINOVAC's future, receipt of your dividend
payments and the long-term value of your investment. The facts are clear, and so is the choice.
We urge you to vote on the WHITE proxy card:
| " AGAINST " Proposal 1 to remove the current SINOVAC Board. | ||
| " AGAINST " Proposal 2 to appoint the Reconstituted Imposter Former Board Slate. |
any items you received asking you to vote for the Reconstituted Imposter Former Board Slate. If you have already voted for the Reconstituted
Imposter Former Board Slate, you can subsequently revoke it by using the WHITE proxy card or WHITE voting instruction form to vote. Only
your latest-dated vote will count!
We thank you for your continued confidence and support as we work
to protect your investment and the future of SINOVAC.
questions about how your vote can be counted, please contact our proxy solicitor, Georgeson LLC, toll free at (844) 568-1506 in the U.S
and (646) 543-1968 outside the U.S. or via email at SinovacSpecialMeeting@georgeson.com.
information, visit www.votesinovac.com.
The SINOVAC Board of Directors
Sinovac Biotech Ltd. (SINOVAC) is a China-based biopharmaceutical
company that focuses on the R&D, manufacturing, and commercialization of vaccines that protect against human infectious diseases.
SINOVAC's product portfolio includes vaccines against COVID-19, enterovirus
71 (EV71) infected Hand-Foot-Mouth disease (HFMD), hepatitis A, varicella, influenza, poliomyelitis, pneumococcal disease, etc.
The COVID-19 vaccine, CoronaVac , has been approved for use in
more than 60 countries and regions worldwide. The hepatitis A vaccine, Healive , passed WHO prequalification requirements in
2017. The EV71 vaccine, Inlive , is an innovative vaccine under "Category 1 Preventative Biological Products"
and commercialized in China in 2016. In 2022, SINOVAC's Sabin-strain inactivated polio vaccine (sIPV) and varicella vaccine
were prequalified by the WHO.
SINOVAC was the first company to be granted approval for its H1N1 influenza
vaccine Panflu.1 , which has supplied the Chinese government's vaccination campaign and stockpiling program. The Company is also
the only supplier of the H5N1 pandemic influenza vaccine, Panflu , to the Chinese government stockpiling program.