retrocade| ST Dima faces enforcement: creditor's rights cases have no significant adverse impact on profits

Newsletter summary

ST Dumas announces that Shanghai Zhixin Private Equity Fund Management Co., Ltd. has applied to enforce the arbitral award.RetrocadeInvolving repurchase principal, interest and liquidated damages, which currently has no significant adverse impact on the company's profits.

Text of news flash

[ST Dumas faces private equity fund arbitration case demanding repurchase payment and compensation] May 14 news, ST Dumas announcement revealed that Shanghai Zhixin Private Equity Fund Management Co., Ltd. filed an arbitration with the Shanghai Arbitration Commission on September 15 last year, asking Chongqing Dongzhan Industrial Co., Ltd. to fulfill the responsibility of paying the principal, interest and liquidated damages of the buyback funds. At the same time, Chongqing Dumas Industrial Co., Ltd. and other relevant parties also need to bear the corresponding responsibility. At present, the parties concerned reached a mediation agreement at the Shanghai Arbitration Commission in 2023 and obtained a mediation statement. Shanghai Zhixin Private Equity Fund Management Co., Ltd. subsequently applied for enforcement by the Shanghai Financial Court. ST Dumas said that the case will be investigated in accordance with the law whether there are jurisdictional objections or enforcement objections, and based on the results of the investigation to decide whether to raise relevant objections. It is reported that the claims involved in this arbitration case will not have a significant adverse impact on the company's current profits.