Analysis of the Impact of Equity Adjustment by the Controlling Shareholder Family of Wens Foodstuff Group (300498.SZ)

Based on the collected information, I will provide you with an in-depth analysis report on the internal equity adjustment of the controlling shareholder family of Wens Foodstuff Group Co., Ltd. (300498.SZ).

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According to the announcement of Wens Foodstuff Group, Wen Pengcheng, one of the company’s controlling shareholders, plans to reduce his holdings of the company’s shares by a total of no more than 21 million shares, accounting for 0.3160% of the company’s total share capital, from February 9, 2026 to May 8, 2026. Among them, no more than 18.5 million shares (accounting for 0.2784% of the total share capital) will be transferred to the company’s controlling shareholders and their close relatives via block trading. The transferees include eight family members and related parties such as Chen Hao, Zhu Wanjun, Chen Xiaoyun, Fan Weichao, Feng Huiping, Wen Shujuan, Wen Shuying, and Sun Haodong [1].

In essence, this share reduction is an

rather than a cash-out behavior targeting the secondary market. The announcement clearly states that this adjustment [2].

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From the perspective of equity structure, this adjustment has extremely limited impact on the actual control of Wens Foodstuff Group:

Before the adjustment (June 2025), the controlling shareholder family of Wens Foodstuff Group held a total of 15.6% of the company’s total share capital; after the adjustment, it will drop to 11.9%, a decrease of 3.7 percentage points [2]. Even after Wen Pengcheng completes the reduction of 21 million shares, the total shareholding of the controlling shareholder family will remain at around 11.62%, still being the largest shareholder group of the company.

On June 4, 2025, Wens Foodstuff Group newly signed the “Concerted Action Agreement”, which stipulates that all parties to the agreement shall take concerted actions in matters such as deliberation and voting at shareholders’ meetings and exercise of shareholder proposal rights. The agreement is valid for seven years (from June 4, 2025 to June 3, 2032) [3]. When there is a disagreement on voting opinions, the opinion represented by Wen Zhifen (current Chairman) shall be taken as the final voting opinion to ensure the unity of decision-making.

The new and old controlling shareholder families are harmonious and united. The total shareholding of the controlling shareholders and their parents, spouses, and children is 16.8%, and the shareholding has remained stable since the company’s listing [2]. This means that even after the share reduction, the family’s control over the company is still fully guaranteed.

This equity adjustment actually reflects the

that Wens Foodstuff Group is undergoing:

The addition of new controlling shareholders, who are the younger generation of family members including Wen Jiaolong (son of Wen Junsheng and Liu Rongjiao), Wen Mingju (son of Wen Pengcheng and Wu Cuizhen), Chen Hao (son of Wen Xiaoqiong and Chen Jianxing), Wen Shaomo and Wen Bingwen (sons of Gu Jinying), further ensures the continuity of the company’s governance [2]. These younger generation members hold important positions in the company: Wen Jiaolong serves as a director of the company, Wen Shaomo serves as the chairman of the company’s supervisory board, and Chen Hao serves as a supervisor.

The announcement clarifies that the current 10 controlling shareholders have made outstanding contributions to the company’s strategic development, team management, internal operations and other aspects during the company’s establishment and development. Their work experience, knowledge and ability are sufficient to actually control and decide the company’s major business decisions and important personnel appointments and removals [2].

As a leading enterprise in the animal husbandry and agriculture industry, Wens Foodstuff Group has long realized the transformation from a traditional family enterprise to a modern governed enterprise. The company has established a sound professional manager system, with a dispersed and stable equity structure. There has been no single shareholder holding more than 5% of the shares before or after the listing [4]. This governance foundation ensures that the equity adjustment of individual shareholders will not shake the company’s overall governance framework.

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From the perspective of market performance, the stock price of Wens Foodstuff Group has been under obvious pressure recently. As of January 16, 2026, the company’s market value is RMB 106.26 billion, and the current stock price is USD 15.97 (equivalent to approximately RMB 116) [0]. The recent stock performance is weak:

Period	Price Change
1-Day	-4.60%
5-Day	-5.67%
1-Month	-6.06%
3-Month	-14.28%
YTD	-5.39%

Market surveys show that investors are cautious about the short-term trend of Wens Foodstuff Group’s stock. A survey on January 14, 2026 shows that the proportion of “bullish” views is 23.61%, while the proportion of “bearish” views is as high as 76.39% [5].

1. Non-Market-Oriented Share Reduction:
   This share reduction is completed among family members via block trading, which will not cause direct selling pressure on the secondary market, resulting in limited impact on the stock price.

2. Robust Performance Fundamentals:
   The company’s estimated net profit for 2024 is RMB 5-5.5 billion, the asset-liability ratio is controlled at around 45%, and the ROE remains at a high level of 19.01%. The overall financial condition is healthy [0].

3. Positive Institutional Ratings:
   Many securities firms have given Wens Foodstuff Group “Buy” or “Add” ratings. Institutions such as Guosen Securities, Pacific Securities, Shanxi Securities, Kaiyuan Securities, and Huaan Securities have recently released research reports optimistic about the company’s development prospects [5].

4. Stable Dividend Expectations:
   The company’s dividend ratio in the first three quarters reached 38%, demonstrating a good awareness of shareholder returns [5].

1. Expectation of Actual Control Dilution:
   Although the adjustment range is small this time, investors may be concerned about whether there will be continuous family equity dilution in the future.

2. Inheritance Risk of Family Enterprises:
   The governance stability during the intergenerational inheritance process still needs to be observed, and the decision-making ability of the younger generation management needs to be verified in the long term.

3. Industry Cycle Fluctuations:
   The pig breeding industry has obvious cyclical characteristics, and changes in industry prosperity may have a significant impact on the company’s performance.

This equity adjustment

:

• Limited Short-Term Impact:
  Since the share reduction does not involve the secondary market and the scale is small (accounting for only 0.3160% of the total share capital), the direct impact on the stock price is small.
• Positive Long-Term Impact:
  The equity structure adjustment reflects the standardized governance and intergenerational inheritance arrangement of the family enterprise, which is conducive to the company’s long-term stable development.
• Key Observation Points:
  Investors should pay attention to subsequent changes in shareholdings of family members, changes in the company’s governance structure, and changes in industry fundamentals.

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Risk Type	Risk Description	Risk Level
Governance Risk	Continuous dilution of family equity may lead to a decline in control	Low
Inheritance Risk	The operational decision-making ability of the younger generation management needs to be verified	Medium
Industry Risk	Cyclical fluctuations in the pig breeding industry	Medium-High
Market Risk	Sluggish overall market sentiment may affect valuation	Medium

• As a leading domestic pig breeding enterprise, Wens Foodstuff Group has scale advantages and a full industry chain layout
• The company’s financial condition is robust, and the asset-liability ratio is at a reasonable level in the industry
• The shareholding of the controlling shareholder family is stable, and the governance structure is clear
• The high dividend policy provides good dividend returns

• Track subsequent changes in family equity
• Focus on the company’s pig breeding cost control and capacity expansion progress
• Pay attention to the industry cycle inflection point and the trend of pig prices

This share reduction by Wen Pengcheng is a normal internal family asset allocation and inheritance arrangement, which will not have a substantial impact on the company’s actual control and governance structure. Investors do not need to be overly worried, but should continue to pay attention to subsequent developments.

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1. Top Left:
   The company’s equity structure distribution chart, showing that the total shareholding of the controlling shareholder family is 11.9%
2. Top Right:
   Details of this share reduction plan, 18.5 million out of 21 million shares are transferred within the family
3. Bottom Left:
   Trend chart of the shareholding ratio change of the controlling shareholder family
4. Bottom Right:
   The company’s financial health indicators, including ROE of 19.01%, net profit margin of 7.67%, etc.

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[1] Capital Futures - Post-Market Announcement Highlights: Controlling Shareholder of Wens Foodstuff Group Plans to Reduce Holdings by No More Than 0.3160%

[2] Beijing News Shell Finance - Wens Foodstuff Group: Adjustment of Controlling Shareholders Will Not Affect the Stability of the Company’s Control

[3] Sina Finance PDF - Announcement of Wens Foodstuff Group Co., Ltd. on Adjustment of Controlling Shareholders and Succession of Commitments

[4] East Money PDF - Guosen Securities Research Report: Investment Value Analysis of Wens Foodstuff Group

[5] East Money - Wens Foodstuff Group Stock Quote