Chunxing Precision sues for unpaid equity transfer

Suzhou Chunxing Precision Mechanical (SZSE:002547) has announced it is pursuing legal action to recover 108 million yuan in unpaid equity transfer fees, plus interest, from Kahn United Technologies and Sun Jiexiao. The lawsuit, filed in the Suzhou Industrial Park People's Court, concerns the transfer of 100% equity in Huizhou Zehong Technology to Kahn United Technologies, an entity controlled by Sun Jiexiao. The original agreement, finalized in December 2018, stipulated a total transfer price of 120 million yuan, with Kahn United Technologies obligated to pay the remaining 108 million yuan. Chunxing Precision also seeks overdue interest payments of 7,539,287.67 yuan as of December 1, 2024 and that all litigation fees be covered by both defendants. The company notes that the impact on current and future profits remains uncertain pending court proceedings.