Core Viewpoint - New City Services has received a resumption guidance from the Hong Kong Stock Exchange after a three-month suspension, requiring the company to address six major rectification issues, including related party transactions and financial performance disclosure, to avoid delisting risk [1][3]. Group 1: Suspension and Resumption Guidance - New City Services announced the resumption guidance on June 18, which includes completing investigations into related party transactions and publishing financial results [1]. - The company is currently taking necessary measures to comply with the resumption guidance and aims to restore trading as soon as possible [1]. - The suspension was primarily due to the company's failure to publish its annual report on time, which violated the Hong Kong Stock Exchange's listing rules [3]. Group 2: Financial Issues and Losses - The delay in the annual report was attributed to the discovery of unclear financial transactions with related parties, leading to an investigation by the board [3]. - The company reported a projected net loss of approximately 700 million to 900 million yuan for the year ending December 31, 2024, due to increased credit impairment losses and goodwill impairment amid intensified industry competition [5][6]. - An internal review revealed that New City Services had provided financial assistance to related parties, with the highest outstanding balance reaching 800 million yuan [3][4]. Group 3: Management Changes and Compliance - Recent management changes, including the resignation of an independent non-executive director and the chief financial officer, have added uncertainty to the resumption process [7]. - The resumption guidance requires the company to conduct an independent investigation into related party transactions and demonstrate compliance with listing rules [8]. - The company must also prove that there are no reasonable regulatory concerns regarding the integrity and capability of its management team [8].