Sunac China Holdings Limited (“Sunac”, stock code: 01918) disclosed that its Chairman and Executive Director, Mr. Sun Hongbin, has been named in a High Court of Hong Kong registration order stemming from a guarantee dispute with Beijing Oriental Yuhong Waterproof Technology Co., Ltd. (“Oriental Yuhong”).
The order registers an arbitral decision that holds Mr. Sun jointly and severally liable for Sunac’s wholly owned subsidiary, Sunac Real Estate Group Co., Ltd., concerning outstanding obligations of RMB0.31 billion and related fund-occupation fees owed to Oriental Yuhong. Mr. Sun is seeking legal advice and may apply to set aside the registration.
Sunac’s Board—excluding Mr. Sun—reviewed the documentation and concluded that: • The issue arose from Mr. Sun’s personal credit-enhancement support for Group debt, without any evidence of dishonest or fraudulent conduct. • Mr. Sun remains suitable to continue as executive director and chairman, given his three decades of industry experience and leadership history. • The registration order is not expected to have a material adverse impact on the Group’s operations.
Sunac Real Estate is currently in settlement negotiations with Oriental Yuhong. Apart from the disclosed information, Mr. Sun confirmed there are no additional matters requiring disclosure under Listing Rules 13.51(2)(h)–(v).
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