U.S. Investor Pushes for Change at Chinese Tech Giant<br />Sina, one of the first Chinese tech companies to list its shares in New York, has<br />called Aristeia "self-serving" and naïve about how China’s internet sector works.<br />Jamie Allen said that Investors have been getting a bit fed up with companies like Baidu and JD.com not having general meetings,<br />Under those arrangements, shareholders have rights to the profits of a company,<br />but they do not control key assets — potentially leaving them exposed if the company runs into trouble or the Chinese government declares the structure illegal.<br />Based on their stock market values, Weibo is now more than twice as valuable as Sina — a gap<br />that Aristeia says points to lackluster management and poor corporate governance.<br />Proxy fights in general are not uncommon, but one between a Chinese company<br />and an American investor is the first of its kind, according to disclosures tracked by the data provider FactSet.<br />Aristeia Capital, a hedge fund based in Connecticut, is lobbying Sina shareholders to back its two candidates<br />for the company’s board in a bid to shake up Sina’s business and give shareholders fatter returns.<br />In turn, Aristeia, which manages $3 billion in investor money, has accused Sina of "failing to hold itself to the standards expected of U.S.-listed public<br />company boards." Foreign investors seem less than worried about any lack of control or lapses in corporate governance if the market is any indication.
