Jiangsu Huasheng Tianlong continues to face trading and delisting risks

Jiangsu Huasheng Tianlong Photoelectric Co., Ltd. announced continued other risk warnings for its shares, primarily due to major shareholder Dayout Holdings' frozen shares and the company's subsidiary bank accounts. Dayout Holdings' 25,598,494 shares are fully frozen, with 14,000,000 shares previously subject to a withdrawn judicial auction and an additional 11,598,494 shares frozen by the Hangzhou Intermediate People's Court in June 2025. This situation poses a risk of change in company control.

The company's subsidiary, Sichuan Zhongshu Shilian Construction Engineering Co., Ltd., initially had bank accounts frozen in December 2023. While some accounts have been unfrozen, others remain frozen due to ongoing litigation, contributing to the additional risk warnings for the stock.

Financially, Jiangsu Huasheng Tianlong's 2024 audited net assets were negative, leading to a delisting risk warning for its shares, effective April 22, 2025. For the first half of 2025, the company reported a net loss attributable to shareholders of CNY -14,302,956.58 and negative net assets of CNY -17,259,166.98, signaling continued losses.