Changhong Jiahua wins initial court ruling in litigation

Changhong Jiahua Holdings Limited (HKEX:3991) announced a positive development in its litigation with Suning Procurement Center. The Intermediate People's Court of Nanjing, Jiangsu, issued a judgment on May 23, 2025, ordering Suning Procurement Center to pay Changhong IT Digital products valued at RMB720,466,948.25. The ruling also covers a loss on capital occupancy calculated at RMB124,614,074.59 up to September 13, 2024, with ongoing interest calculated at 1.3 times the One-Year Loan Prime Rate. Suning.com Group Co., Ltd. will bear supplementary repayment responsibility if Suning Procurement Center is insufficient. The judgment grants Changhong IT Digital priority repayment rights from mortgaged property if discounting or auction occurs. While the litigation is at the initial stage and subject to further developments, Changhong Jiahua advises shareholders to exercise caution when trading shares.