China Sports: Factory operations remain unclear, Company and market news and headlines
SINGAPORE – Independent directors of China Sports International said on Wednesday (December 27th) that they were unable to say if its factory was operating normally because they have yet to receive updates from the company’s general manager , Lin Shaoxiong.
Responding to a request from the Singapore Stock Exchange (SGX) whether its independent directors are able to access the plant because they were not able to do so before, the directors mentioned that Mr. Lin them had invited on December 15 to make an on-site visit from December. 26 to gain a better understanding of the company’s operations.
According to an SGX filing filed by independent directors Ang Wei Chuan and Leow Yong Kin, a request was made to have Mr. Lin arrange airline tickets and accommodation for them, or transfer the funds to them to arrange a site visit. .
However, since they have not received any updates, they cannot verify if the factory is accessible and functioning normally. The company last said Mr Leow visited the factory in June and July 2017 and found the factory to be functioning.
China Sports added that its board of directors will continue to maintain contact with Mr. Lin through all possible communication channels. In the event that this is no longer effective, the directors of the company will discuss with the relevant professionals their next course of action, Mr Ang and Mr Leow said.
Earlier this month, the motherboard-listed company said it had received a legal request from its legal advisers, RHT Corporate Advisory, regarding S $ 50,839.25 in unpaid professional fees. If China Sports does not reimburse the amount within three weeks from December 15, RHT would be entitled to initiate liquidation proceedings against the company.
In November of this year, it was revealed that the group had not yet started its annual audit almost five months after its financial year ended on June 30, and that its independent directors had not been able to ensure the company’s situation. As of November, a treasury audit had also not started because Mr. Lin was on a business trip to Suzhou, preventing the auditors from making the observations required for the audit.
In addition, the company did not convene its annual general meeting (AGM) for fiscal 2017, which raised concerns from independent directors. He had requested, but failed in October to secure an extension to hold the AGM.
China Sports shares have been suspended since Dec. 4 after the company requested a voluntary suspension until the start of an audit process, and when directors and auditors are “clear on the company’s situation. “. The company was placed on SGX’s watchlist in June this year for failing the exchange’s minimum trading price criteria of maintaining a market cap of S $ 40 million and a share price of S $ 40 million. ‘at least S $ 0.20.
The meter last traded at S $ 0.011 each on November 27.
China Sports is an investment holding company that designs, manufactures and sells sports shoes as part of its business.
According to its latest financial statements, the operations of the company and its subsidiaries are mainly carried out in China.
The company’s unaudited net loss widened to 12.2 million yuan (S $ 2.5 million) in the first quarter ended September 30, 2017, from a net loss of 4.5 million yuan in the last quarter. during the same period last year.