ST Huke: Controlling shareholder's equity frozen amid financial troubles

Shanghai Broadband Technology (*ST Huke) revealed that the equity of its controlling shareholder, Kunming Transportation Investment Group, has been frozen. This affects all 39,486,311 shares held, representing 12.01% of *ST Huke's total share capital, and stems from a CNY 208 million debt guarantee provided by Kunming Transportation Investment Group. While the controlling shareholder and involved parties are attempting to resolve the debt issues, the equity freeze complicates a previously announced share transfer agreement with Kunming Dianyu Investment Holding, where Dianyu had already completed payment.