Mei Ri Jing Ji Xin Wen·2025-08-11 15:04Core Viewpoint - ST Jinggu (SH600265) is facing significant financial distress due to multiple lawsuits against its subsidiary, Huiyin Wood Industry, which has accumulated debts and is involved in civil loan disputes totaling approximately 66.9 million yuan [2][4]. Group 1: Legal Issues and Financial Liabilities - Huiyin Wood Industry is currently involved in six lawsuits, with a total claim amount of about 66.9 million yuan, which represents 70.34% of the company's latest audited net assets attributable to shareholders [4]. - The lawsuits primarily stem from civil loans, with four cases already filed but not yet heard, and two cases awaiting acceptance notifications [2][4]. - In addition to the lawsuits, Huiyin Wood Industry's former controlling shareholders, Cui Huijun and Wang Lansun, have outstanding loans totaling approximately 30.89 million yuan [4]. Group 2: Company Performance and Management - ST Jinggu's acquisition of a 51% stake in Huiyin Wood Industry in 2023 aimed to enhance operational efficiency through management synergies, but the expected performance improvements have not materialized [5]. - Following the acquisition, ST Jinggu recorded an additional goodwill of 91.95 million yuan, but Huiyin Wood Industry failed to meet its profit commitments for 2024, leading to a goodwill impairment of 83.32 million yuan [5]. - Since 2018, ST Jinggu has reported negative net profits, with losses increasing over the years, raising concerns about the effectiveness of the investment from its major shareholder, Chow Tai Fook [6].