Oriental Smart Manufacturing's shareholder fails performance pledge

Guangxi Oriental Smart Manufacturing (SZSE:002175) announced that its controlling shareholder, Kosun High-Tech Development, received a decision from the Guangxi Securities Regulatory Bureau for failing to fulfill its performance commitment related to the 2021 restructuring of Oriental Times Media. Kosun High-Tech had pledged a cumulative net profit of CNY 250 million over three years, but only achieved CNY 38,850,074.57 between 2022 and 2024, resulting in a shortfall of CNY 211,149,925.43. While Kosun High-Tech has paid CNY 40 million in compensation, it has yet to fully meet its obligations. The Guangxi Securities Regulatory Bureau has ordered Kosun High-Tech to rectify the situation and submit a rectification report within 30 days. Oriental Smart Manufacturing stated that it will urge its controlling shareholder to fulfill its compensation obligations.