DEF 14A: Datasea Inc. Announces Annual Meeting of Stockholders to be Held on June 7, 2024

Datasea Inc. will hold its Annual Meeting of Stockholders on June 7, 2024, to vote on the election of directors, ratification of the independent auditor, approval of an amendment to the equity incentive plan, and authorization to adjourn the meeting if necessary.

Summary

• Datasea Inc. is holding its Annual Meeting of Stockholders on June 7th, 2024, in Beijing.
• Stockholders of record as of April 17th, 2024, are eligible to vote.
• The meeting will address the election of five directors, the ratification of Paris Kreit & Chiu CPA LLP as the independent auditor for the fiscal year ending June 30, 2024, and the approval of Amendment No. 3 to the 2018 Equity Incentive Plan.
• The company is providing proxy materials online, with a Notice of Internet Availability mailed to stockholders around April 26th, 2024.
• Stockholders can vote via the internet, email, fax, or mail.
• The Board of Directors recommends voting FOR all listed proposals.

Sentiment

Score: 7

Explanation: The document is a standard corporate communication, presenting information in a neutral and informative tone. The proposals are typical for an annual meeting, and the recommendations are clearly stated.

Positives

• The company is providing proxy materials online to expedite delivery, reduce costs, and conserve natural resources.
• Stockholders have multiple options for voting, including internet, email, fax, and mail.
• The Board of Directors is actively recommending votes on the proposals.

Future Outlook

The document outlines the business to be transacted at the Annual Meeting, including the election of directors, ratification of the auditor, and approval of the equity incentive plan amendment, which are all aimed at supporting the company's future operations and growth.

Management Comments

• Zhixin Liu, Chairman of the Board and Chief Executive Officer, encourages stockholders to vote promptly.

Industry Context

Proxy statements are standard practice for publicly traded companies, ensuring shareholders are informed and have the opportunity to vote on key decisions.

Comparison to Industry Standards

• The proposals outlined in the proxy statement, such as electing directors, ratifying auditors, and approving equity incentive plans, are standard agenda items for annual meetings of publicly traded companies.
• The use of electronic delivery of proxy materials is a common practice among companies to reduce costs and environmental impact, aligning with industry trends.
• The director compensation and audit fee disclosures are consistent with SEC requirements and provide transparency to shareholders, similar to what is seen in comparable companies' proxy statements.

Related Party Transactions

• The company has identified Ms. Zhixin Liu, our CEO and President, as a related person, for the fiscal year ended June 30, 2023.
• In May 2023, our CEO signed an office lease agreement with Heilongjiang Xunrui Technology Co., Ltd. for a period of one year from May 1, 2023 to April 30, 2024, at an annual rent of RMB 282,852.00 (USD 40,756).
• In July 2023, the CEO of the Company entered into two car rental agreements with Tianjin Information Sea Information Technology Co., LTD., one of which was for 12 months from July 1, 2023 to June 30, 2024, with a monthly rental of RMB 18,000 (USD 2,593) and an annual rental of RMB 216,000 (USD 31,123).
• The other agreement is for 12 months from July 01, 2023 to June 30, 2024, with a monthly rent of RMB20,000 (US $2,881) and an annual rent of RMB240,000 ($34,582).
• As of June 30, 2023, the Company had balances due to related parties of $96,829.97 for car rental fee and $51,007.92 for lease house fee.

Stakeholder Impact

• Shareholders are directly impacted by the proposals being voted on, including the election of directors and the approval of the equity incentive plan.
• Employees may be impacted by the approval of Amendment No. 3 to the 2018 Equity Incentive Plan, which could affect their compensation.
• The ratification of the independent auditor ensures the integrity of the company's financial reporting, which impacts all stakeholders.

Next Steps

• Stockholders should review the proxy materials and vote on the proposals.
• The company will hold the Annual Meeting on June 7th, 2024, to conduct the business outlined in the proxy statement.

Key Dates

Keywords

Annual Meeting, Proxy Statement, Stockholders, Directors, Equity Incentive Plan, Independent Auditor, Datasea Inc.