Connect with us

Hi, what are you looking for?


China Huarong says cannot determine when it will publish 2020 earnings

Stock Markets34 minutes ago (Jun 29, 2021 10:37PM ET)

(C) Reuters. FILE PHOTO: The logo of China Huarong Asset Management Co is seen at its office in Beijing, China, April 16, 2021. REUTERS/Thomas Peter/File Photo

SHANGHAI (Reuters) -China Huarong Asset Management Co Ltd said it cannot determine when it will publish its 2020 financial results, and proposed delaying its annual shareholder meeting, injecting fresh uncertainty into China’s biggest bad-debt manager.

Huarong, in filings to the Hong Kong stock exchange late on Tuesday, also announced plans to sell stakes in a distressed asset exchange unit.

The firm, whose shares have been suspended from trade since April 1, said operations are normal and that it has been providing relevant information to auditors.

“However, given that the relevant transaction of the Company has not been finalised, neither the Company nor the Auditor is currently able to estimate the time required for completion of the 2020 Annual Results or to finalise the expected timetable for the publication,” it said, without disclosing the transaction.

As 2020 audit work has not been finished, the board has proposed postponing the firm’s 2020 annual general meeting, Huarong said.

Huarong missed the March 31 deadline for filing its 2020 earnings, sparking a rout in its U.S. dollar-denominated bonds that spread to other issuers, amid concern that a default could leave foreign investors losing out.

Its bonds were little changed on Wednesday, Refinitiv data showed. The mid price on its 3.8% Singapore dollar-denominated bond maturing in November 2025 was last quoted at 66.545, versus 66.494 on Tuesday.

Huarong, which counts China’s finance ministry as its biggest shareholder, has been hurt by failed investment, aggressive expansion and a corruption case that culminated in the execution of its former chairman, Lai Xiaomin.

In a separate statement late on Tuesday, Huarong said auditors “will need more information and time” and that the delay does not constitute an event of default.

Huarong also said it “has been conducting its business operation on a normal basis. No material change has been found in the Group’s business operation” since April 1, when trading of its shares was suspended.

The firm, without elaborating, said it intends to sell its 79.6% stake in Huarong Zhongguancun Distressed Asset Exchange Centre Co.

The sale comes as regulators push Huarong to sell non-core assets as part of a revamp, Reuters reported.

The company has also officially nominated Liang Qiang as president and executive director of its board, showed a separate exchange filing.

China Huarong says cannot determine when it will publish 2020 earnings

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like


Stock Markets25 minutes ago (Jul 16, 2021 05:46PM ET) (C) Reuters. FILE PHOTO: Johnson & Johnson’s Neutrogena Cool Dry Sport sunscreen, which is part...


Builders, creators and developers, this one’s for you! TechCrunch has always been about discovering fresh solutions and shining the light on exciting, new products...

Disclaimer: it's managers and its employees (collectively "The Company") do not make any guarantee or warranty about what is advertised or above. Information provided by this website is for research purposes only and should not be considered as personalized financial or health advice. Copyright © 2021 Wise Gazette. All Rights Reserved