Core Viewpoint - The controversy surrounding the salary proposal of Yoon Yong-jo, chairman of the robotics company Berante, highlights the increasing scrutiny of executive compensation in loss-making companies amid regulatory reforms aimed at improving corporate governance [1][5][12]. Group 1: Salary Proposal and Board Rejection - Yoon Yong-jo proposed a fixed monthly salary of 2 million yuan and an annual bonus based on "company profit - 1 yuan," which was rejected by the board [1][3]. - The board's rejection was influenced by the company's current loss status, with directors arguing that salary increases should only be considered after the company returns to profitability [3][5]. Group 2: Financial Performance - Berante's financial performance has been declining, with a reported revenue of 177.36 million yuan in the first half of 2025, a decrease of 17.84% year-on-year, and a net loss of 39.42 million yuan [4][3]. - The company has faced significant losses in recent years, with net profits of -125.39 million yuan in 2023 and -55.47 million yuan in 2022 [2][3]. Group 3: Regulatory Context - The controversy occurs against the backdrop of the China Securities Regulatory Commission's new guidelines aimed at tightening executive compensation structures, particularly for loss-making companies [5][7]. - The revised corporate governance guidelines emphasize that executive compensation should align with company performance and sustainability, particularly for companies reporting losses [7][12]. Group 4: Shareholder Concerns and Governance Issues - Shareholders, particularly minority shareholders, have expressed concerns over governance issues, including the perceived self-serving nature of Yoon Yong-jo's salary proposal [8][9]. - A significant shareholder has called for amendments to the company's articles of association to restore normal governance structures and address the concentration of power within the company [8][9]. Group 5: Historical Context and Company Background - Berante, founded in 2008, has faced challenges in recent years, including being delisted from the New Third Board due to audit issues [10]. - The company has a history of receiving "unable to express an opinion" audit reports, which has severely impacted its market reputation and operational performance [10].

Core Viewpoint - The public letter from Junlan Investment highlights serious governance issues at Borunte, accusing the current chairman and general manager of exploiting the company and humiliating shareholders, calling for a vote to restore normal governance and remove the chairman [3][4]. Group 1: Governance Issues - The controversy began when the chairman proposed a fixed monthly salary of 2 million yuan and a year-end bonus based on "company profit - 1 yuan," which was rejected by the board due to the company's loss [5][6]. - Junlan Investment, holding 1.54% of Borunte's shares, accused the chairman of using institutional design to empty the company and detailed how he gained control through high valuation financing and manipulation of the governance structure [5][6]. - The chairman modified the company’s articles to ensure that directors must be current employees, effectively creating a closed loop of power that prevents external shareholders from defending their rights [6][10]. Group 2: Financial Performance - Borunte, founded in 2008, has seen a decline in financial performance, with revenues dropping from 447 million yuan in 2020 to 241 million yuan in 2024, and cumulative losses exceeding 300 million yuan [10][11]. - The company faced significant challenges, including being delisted from the National Equities Exchange and Quotations (NEEQ) in April 2023 due to audit issues and declining market reputation [10][11]. Group 3: Industry Context - The robotics industry is thriving, yet Borunte's situation reflects a disconnect in the understanding of contractual obligations and governance, which can lead to detrimental outcomes for all parties involved [13][14]. - The importance of maintaining a strong sense of contractual spirit is emphasized, as it is crucial for sustaining relationships between entrepreneurs and investors, ensuring mutual success [13][14].

Core Viewpoint - The conflict between the founder and investors of Berante Robotics highlights issues of governance and profit distribution, with the founder proposing an exorbitant salary amidst declining company performance [1][3][4][5]. Group 1: Company Performance - Berante Robotics has experienced a continuous decline in revenue and net profit from 2020 to 2023, with revenue dropping from 447 million yuan in 2020 to 200 million yuan in 2023, and net losses increasing from 53.83 million yuan in 2022 to 125 million yuan in 2023 [5][12]. - Despite a slight recovery expected in 2024, the company remains in a loss-making state [5]. Group 2: Founder’s Salary Proposal - The proposal for a fixed monthly salary of 2 million yuan for the CEO, Yin Rongzao, was aimed at incentivizing him to turn the company's performance around, but it was rejected by the board with a vote of 1 in favor and 4 against [1][4]. - Yin also proposed that all net profits of the company for the next ten years, minus one yuan, be allocated as his personal bonus, raising significant concerns among investors [12]. Group 3: Investor Reaction - Investors, particularly Junlan Investment, expressed outrage over Yin's actions, accusing him of exploiting the company and disrespecting shareholders [3][7]. - The public letter from Junlan Investment called for a restructuring of the company's governance to remove Yin from his positions [3][9]. Group 4: Governance Issues - Yin's control over the company was facilitated by a series of financial maneuvers that allowed him to consolidate power, including the modification of company bylaws to ensure that only employees under contract could serve as directors [12][13]. - This governance structure effectively excluded external shareholders from decision-making processes, leading to a significant power imbalance [12][18]. Group 5: Historical Context - The situation at Berante Robotics is not an isolated incident but part of a broader trend in the Chinese venture capital landscape, where conflicts between founders and investors often arise over control and profit distribution [15][18]. - Previous cases, such as those involving other companies like Luckin Coffee and NVC Lighting, illustrate similar patterns of governance disputes and the consequences of mismanagement [17][16].

Group 1 - The core issue revolves around the chairman's proposal for a monthly salary of 2 million yuan and a year-end bonus based on company profits minus one yuan, which was rejected by the board [1][2] - The company, Borunte, has experienced significant financial decline, with cumulative losses exceeding 300 million yuan from 2020 to 2024, and revenue dropping from 447 million yuan in 2020 to 241 million yuan in 2024 [4][6] - The public letter from Junlan Investment accuses the chairman of exploiting the company through governance manipulation and calls for a restoration of normal governance structures [1][2] Group 2 - Borunte, founded in 2008, specializes in the research and development of industrial robots and has seen its revenue peak at over 400 million yuan, but has since faced severe financial challenges [5][6] - The chairman, who is also the largest shareholder with a 21.65% stake, has been criticized for his management practices and the company's governance structure, which has become increasingly closed off to external shareholders [3][5] - The company's reputation and market sales have been severely impacted after it was delisted from the National Equities Exchange and Quotations in April 2023 due to financial reporting issues [4][6]

Core Viewpoint - The article discusses the internal conflict at the robotics company Borunte, highlighting the controversial salary demands of its chairman, Yin, and the subsequent call from investors for a restoration of normal governance structures to protect shareholder interests [3][5][6]. Group 1: Company Background - Borunte, founded in 2008, specializes in the research and development of industrial robots and has grown from a small enterprise to a national-level specialized company with revenues exceeding 400 million and profits over 100 million [3][10]. - The company faced significant challenges, including a loss of over 300 million and the termination of its listing on the national stock transfer system in 2023 due to audit issues and declining sales [9][11]. Group 2: Internal Conflict - The conflict escalated when Yin proposed a fixed monthly salary of 2 million yuan and a year-end bonus based on company profits minus one yuan, which was rejected by the board due to the company's ongoing losses [5][11]. - Investors, particularly Junlan Investment, accused Yin of exploiting the company's governance structure for personal gain, claiming he had effectively privatized control over Borunte [6][7]. Group 3: Governance Issues - The governance structure was altered in April 2025, allowing only employees with contracts to serve as directors, which investors viewed as a means to prevent external shareholders from protecting their interests [6][11]. - The article emphasizes the importance of contractual integrity in maintaining trust between entrepreneurs and investors, suggesting that breaches of this trust can lead to detrimental outcomes for both parties [13][14].

Core Viewpoint - The proposal for a fixed monthly salary of 2 million yuan for the general manager of Borante was rejected by the board of directors, highlighting governance issues within the company [2][10][12]. Summary by Sections Salary Proposal - The general manager, Yin Rongzao, proposed a fixed monthly salary of 2 million yuan starting from August 2025, along with a year-end bonus calculated as "company profit - 1 yuan" [10][12]. - The board rejected this proposal with a vote of 1 in favor and 4 against, citing the company's current loss status and the need to address financial recovery first [12]. Financial Performance - For the first half of 2025, Borante reported revenues of 109 million yuan and a net loss of 7.4 million yuan [13]. - The company has faced significant challenges, including two consecutive years of "unable to express an opinion" audit reports, leading to its delisting from the New Third Board in April 2023 [24][25]. Governance Issues - The tenth largest shareholder, Jiaxing Junlan Investment Partnership, publicly criticized Yin Rongzao and called for amendments to the company’s articles of association to restore normal governance structures [16][21]. - The shareholder's open letter described Yin as a "predator" who undermines company value and governance for personal gain [22]. Company Background - Borante, founded in 2008, specializes in the research and development of industrial robots and has received various accolades, including being recognized as a "little giant" enterprise [24]. - The company was the first to list on the New Third Board in the robotics sector and experienced significant stock price increases in 2015 due to market interest [24].