Harmontronics shares frozen amid dispute, says Guotai Junan

Suzhou Harmontronics Automation Technology (SSE: 688022) faces scrutiny as some shares of its controlling shareholder, Harmontronics Investment Management, have been judicially frozen due to litigation involving a dispute with shareholder Jiang Haidong. Guotai Junan Securities, as the company's sponsor, reported that 2,618,862 shares are affected, representing 1.48% of Harmontronics' total share capital and 5.34% of Harmontronics Investment's holdings. Separately, shares held by actual controller Cai Changwei in Harmontronics Investment and related entities have also been frozen due to personal debt disputes. While the company claims daily operations are not significantly affected, the potential for changes in control remains if court rulings alter ownership. Guotai Junan Securities will continue monitoring the situation and urges investors to be aware of potential risks.