On January 13, Luxshare Precision Industry Co., Ltd. (002475.SZ, share price: 54.58 yuan, market capitalization: 397.66 billion yuan) announced that due to restrictions on the closing of related assets of India Wingtech, including asset seizures and freezes, the procedures for the transfer of ownership rights could not be completed, and the ownership transfer of the related asset transaction has not been finalized.
Based on the aforementioned substantial obstacles to closing caused by the counterparty, the contractual purpose of this India Asset Transfer Agreement can no longer be achieved.
The company's wholly-owned subsidiary, Luxshare Lanto India Private Limited, has filed an arbitration application with the Singapore International Arbitration Centre and submitted a notice of arbitration, requesting a ruling to terminate the India Asset Transfer Agreement.
The subsidiary is also claiming that India Wingtech refund the paid transaction consideration and other fees totaling Indian Rupees 1,976,753,392.38 (approximately 153 million Chinese Yuan), plus interest accrued until the date of actual payment.
This termination matter is not expected to adversely affect the company's normal production, operations, or financial condition.
By the close of A-share trading on the 13th, Luxshare Precision's stock price had fallen by 1.53%.
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