South Sea Control: Application for Bankruptcy Liquidation of Subsidiary Company Accepted by Court

Hai Kong South China Sea announced that its previous application to acquire a controlling stake in its subsidiary, a curtain wall products company, was rejected. In March 2024, its wholly-owned subsidiary Hai Kong Glass sued the curtain wall products company for unpaid rent, won the case, and applied for forced execution. However, as no property available for execution was found, the execution was terminated in January 2025. In March 2025, Hai Kong Glass submitted an application for bankruptcy, and recently the Huizhou Intermediate People's Court ruled to accept the bankruptcy liquidation application and appointed Guangdong Weilun Law Firm as the administrator. The final bankruptcy liquidation plan for the curtain wall products company is still uncertain, and it will no longer be included in the company's consolidated financial statements.