Shares of Lufax Holding Ltd (NYSE: LU), a leading financial services enabler for small business owners in China, plummeted 6.07% in the last 24 hours. The significant drop came after the company announced a major change in its auditing arrangements during an extraordinary general meeting held in Shanghai.

According to the company's statement, shareholders approved the removal of PricewaterhouseCoopers and PricewaterhouseCoopers Zhong Tian LLP as Lufax's auditors. In their place, Ernst & Young and Ernst & Young Hua Ming LLP have been appointed as the new auditors, effective until the annual general meeting for the year ending December 31, 2025. The Board has been authorized to fix the new auditors' remuneration.

This unexpected change in auditors appears to have unsettled investors, leading to the sharp decline in Lufax's stock price. The move raises questions about the company's financial oversight and could potentially impact investor confidence in the short term. Lufax, which offers financing products designed to address the needs of small business owners in China, has established relationships with 85 financial institutions as funding partners. As the market digests this news, investors will likely be watching closely for any further developments or explanations from the company regarding this significant shift in its financial reporting structure.