Stone Group, a mainland computer and software company, has announced a restructuring plan under which it will transfer the ownership of all assets to employees over the five years.
Duan Yongji, president of Stone's listing arm, Stone Electronic Technology, said the restructuring plan would allow Stone's employees and management to directly own and control the company.
He said employees would share the company's dividend and therefore would have more incentive to increase profitability.
Under the restructuring plan, New Beijing Stone would be set up by the collectively-owned Stone Group and Employees' Shareholding Society. The new entity would be 51 per cent owned by 616 employees and the rest held by the Stone Group.
Stone Group would then transfer the entire 50.5 per cent stake in Hong Kong listed Stone Electronic to New Beijing Stone, at a total consideration of $273 million or 60.9 cents per share.
Stone's employees would directly own a 27.76 per cent stake in Stone Electronic.
