SHANGHAI Jahwa United Co, a local cosmetics maker, jumped 3.3 percent yesterday beating the key index's gain after the company's chairman apologized for shareholders's losses due to a boardroom dispute at its parent company.

Jahwa rose to 65.08 yuan yesterday after falling for two straight days. The Shanghai Composite Index gained 1.2 percent.

Speaking at the annual shareholders' meeting yesterday, Ge Wenyao said he was deeply sorry for the losses suffered by the shareholders due to his dispute with Jahwa United's major shareholder Ping An. Ge, 65, said he will smooth the relationship with Ping An because the interests of the shareholders and the company override everything else.

There have been rumors Ping An may remove Ge as chairman of the listed firm but he said it's unlikely.

At the meeting, some shareholders criticized Ping An for triggering the dispute and causing a huge loss to retail shareholders. Jahwa saw its market value fall 4.9 billion yuan (US$789.6 million) this week before the rebound.