Shanghai Broadband Technology Co.,Ltd. (600608) Under Investigation by CSRC for Suspected Disclosure Violations

On the evening of December 12, *ST Shanghai Broadband Technology Co.,Ltd. (600608) announced that it received a formal investigation notice from the China Securities Regulatory Commission (CSRC) due to suspected violations of information disclosure regulations.

The company stated that its production and operations remain normal and orderly, and it will fully cooperate with the CSRC's investigation.

*ST Shanghai Broadband Technology Co.,Ltd. primarily engages in commodity trading, including agricultural products and chemical products. In the first half of 2025, its agricultural business focused on fresh-cut flowers and brewing grains, while its chemical products mainly consisted of titanium dioxide.

In recent years, the company's operating scale has continued to decline. From 2022 to 2024, its revenue fell sharply from 367 million yuan to 17 million yuan, with a year-on-year drop of 88.42% in 2024. Its non-GAAP net profit has remained negative for two consecutive years.

The company attributed the 2024 revenue decline to the liquidation of its major chemical supplier, Hong Kong Petrochemical, which impacted its plastic pellet business.

In the first half of 2025, revenue plunged another 65% to approximately 4.4 million yuan due to business restructuring and reduced sales in plastic pellets and titanium dioxide.

Earlier, the company was placed under delisting risk warning (*ST) after its 2024 audited financials showed negative total profit, net profit, and non-GAAP net profit, with revenue below 300 million yuan—triggering regulatory thresholds under the Shanghai Stock Exchange's listing rules.

Additionally, *ST Shanghai Broadband Technology Co.,Ltd. faces unresolved non-operational fund occupation issues. Historical capital occupation by its former controlling shareholder, Nanjing Swite Group, and related parties totals 349 million yuan—far exceeding the company’s net assets.

On November 28, the company announced plans to publicly auction all claims related to Nanjing Swite Group and contingent liabilities, though approval and buyer interest remain uncertain.

Market performance has been weak, with shares down nearly 20% in the past month. As of December 12, its market capitalization stands at around 1.3 billion yuan.

Management turnover has also been frequent in 2025. On December 2, Director, Board Secretary, and CFO Yun Feng resigned for health reasons after just one year in the role.