Core Viewpoint - *ST Gaohong (000851) has received a decision from the Shenzhen Stock Exchange to terminate its listing due to its stock price being below 1 yuan for twenty consecutive trading days, leading to its direct delisting without a transition period [1][3]. Group 1: Company Overview - *ST Gaohong, officially known as 大唐高鸿网络股份有限公司, was established by the China Academy of Telecommunications Technology (Datang Telecom Group) [3]. - The company has developed three main business segments: digital application, information services, and IT sales over its more than twenty years of listing [3]. - At its peak, *ST Gaohong reported revenue exceeding 7 billion yuan, with 2023 revenue recorded at 5.93 billion yuan and total assets at 8.3 billion yuan [3]. Group 2: Financial Irregularities - The China Securities Regulatory Commission identified that from 2015 to 2021, *ST Gaohong engaged in fraudulent trade activities through its subsidiary, Beijing Datang Gaohong Technology Co., Ltd., involving a company controlled by Jiang Qing [4]. - These fraudulent activities resulted in inflated revenue and profits in annual reports, with 2019 alone seeing an inflated revenue of 5.634 billion yuan, accounting for nearly half of the reported revenue, and an inflated profit exceeding 20 million yuan [4]. - The company has also faced issues of inflated revenue and profits in its 2022 and 2023 annual reports [4]. Group 3: Shareholder Information - As of the end of the third quarter, *ST Gaohong had over 80,000 shareholders [5].

Core Points - *ST Gaohong's stock will be delisted due to continuous closing prices below 1 yuan for twenty trading days [3] - The company will not enter a delisting preparation period but will be directly delisted within fifteen trading days after the decision [3] - After delisting, *ST Gaohong's shares will be transferred to the National Equities Exchange and Quotations system [3] - The company has signed a stock transfer agreement with Pacific Securities for share transfer services [3] - *ST Gaohong, established by the China Academy of Telecommunications Technology, has three main business segments: digital applications, information services, and IT sales [3] - The company reported peak revenue exceeding 7 billion yuan, with 2023 revenue at 5.93 billion yuan and total assets of 8.3 billion yuan [3] - The China Securities Regulatory Commission identified fraudulent trading activities from 2015 to 2021, leading to inflated revenue and profits [4] - In 2019, the company inflated revenue by 5.634 billion yuan, accounting for nearly half of its reported revenue [4] - The company has over 80,000 shareholders as of the third quarter [5] - On November 3, *ST Gaohong received the official notice of stock termination from the Shenzhen Stock Exchange [7]

Core Viewpoint - *ST Gaohong faces the risk of being delisted due to its stock price falling below par value, with a closing price of 0.48 yuan as of September 19, 2025, and has been below 1 yuan for 15 consecutive trading days [1][5] Group 1: Delisting Risks - The company announced that its stock may be terminated from listing if it continues to trade below 1 yuan for 20 consecutive trading days, as per the Shenzhen Stock Exchange regulations [1] - The company is also at risk of being subject to mandatory delisting due to significant legal violations, as indicated by a notice from the China Securities Regulatory Commission (CSRC) regarding fraudulent issuance of shares [2] Group 2: Financial Misconduct - The CSRC's notice revealed that from 2015 to 2023, the company inflated its reported revenue by a total of 192.67 million yuan across various years, with the highest inflation occurring in 2020 at 56.34 million yuan, representing 49.38% of that year's reported revenue [3] - The company also inflated its reported costs and total profits during the same period, with the highest profit inflation in 2020 amounting to 2.19 million yuan, which was 64.88% of the reported profit for that year [3] Group 3: Stock Issuance Issues - The notice further stated that the company's 2020 non-public stock issuance documents contained false data regarding business income and profits, leading to a fraudulent issuance classification [4] - The company has been experiencing abnormal stock trading fluctuations, with a cumulative price drop exceeding 12% over three consecutive trading days [4]

Core Viewpoint - *ST Gaohong faces the risk of being delisted due to its stock price falling below par value, with a closing price of 0.48 yuan as of September 19, 2025, and has been below 1 yuan for 15 consecutive trading days [1][5]. Group 1: Delisting Risks - The company announced that its stock may be terminated from listing if it continues to trade below 1 yuan for 20 consecutive trading days, as per the Shenzhen Stock Exchange listing rules [1]. - The company is also at risk of being subject to mandatory delisting due to significant legal violations, as indicated by a notice from the China Securities Regulatory Commission (CSRC) regarding fraudulent issuance of stocks and false financial reporting from 2015 to 2023 [2]. Group 2: Financial Misreporting - The CSRC's notice revealed that the company inflated its reported revenue and costs significantly over multiple years, with inflated revenues ranging from 6.94 million yuan to 56.34 million yuan, constituting up to 49.38% of reported revenues in certain years [3]. - The inflated profits reported by the company also varied, with the highest inflation reaching 2,190.52 million yuan, which accounted for 64.88% of the total reported profit in 2020 [3]. Group 3: Stock Performance and Market Reaction - The company’s stock has experienced significant volatility, with a cumulative price drop exceeding 12% over three consecutive trading days in September 2025, indicating abnormal trading conditions [4]. - Despite the possibility of a continuous price increase, the stock price would still not reach the par value of 1 yuan even with five consecutive limit-up trading days [5]. Group 4: Company Background - *ST Gaohong, established by the China Academy of Telecommunications Technology, is a high-tech enterprise that has developed a business structure focusing on digital applications, information services, and IT sales since its listing in 2003 [8].

Core Viewpoint - *ST Gaohong faces the risk of being delisted due to its stock price falling below par value, with a closing price of 0.48 yuan as of September 19, 2025, and has been below 1 yuan for 15 consecutive trading days [1][5] Group 1: Delisting Risks - The company announced that its stock may be terminated from listing if it continues to trade below 1 yuan for 20 consecutive trading days, as per the Shenzhen Stock Exchange regulations [1] - The company is also at risk of being subject to mandatory delisting due to significant legal violations, as indicated by a notice from the China Securities Regulatory Commission (CSRC) regarding fraudulent issuance of shares [2] Group 2: Financial Irregularities - The CSRC's notice revealed that from 2015 to 2023, the company inflated its reported revenue by a total of 6.94 billion yuan to 3.94 billion yuan across various years, representing a percentage increase of 9.34% to 49.38% of the reported revenue for those years [3] - The company also inflated its reported costs and total profits during the same period, with total profit inflation ranging from 67.36 thousand yuan to 2.19 million yuan, accounting for 0.42% to 64.88% of the reported profit [3] Group 3: Recent Developments - The CSRC identified that the company's 2020 non-public stock issuance involved false data from 2018 to 2020, leading to accusations of fraudulent issuance [4] - The company experienced a significant stock price drop, with a cumulative decline of over 12% in three consecutive trading days leading up to September 19, 2025, indicating abnormal trading fluctuations [4]

Core Viewpoint - *ST Gaohong faces the risk of being delisted due to its stock price falling below par value, with a closing price of 0.48 yuan as of September 19, 2025, and has been below 1 yuan for 15 consecutive trading days [1][5]. Group 1: Delisting Risks - The company announced that its stock may be terminated from listing if it continues to trade below 1 yuan for 20 consecutive trading days, as per the Shenzhen Stock Exchange regulations [1]. - The company is also at risk of being subject to mandatory delisting due to significant legal violations, as indicated by a notice from the China Securities Regulatory Commission (CSRC) regarding fraudulent issuance of shares and false financial reporting from 2015 to 2023 [2]. Group 2: Financial Misreporting - The CSRC's notice revealed that the company inflated its reported revenue and costs significantly over several years, with inflated revenues ranging from 6.94 million yuan to 56.34 million yuan, constituting up to 49.38% of reported revenues in certain years [3]. - The inflated profits reported by the company also showed substantial discrepancies, with inflated profit totals reaching as high as 2,190.52 million yuan, representing 64.88% of the reported profit in one year [3]. Group 3: Recent Developments - The company’s non-public stock issuance in 2020 was found to contain false data, leading to accusations of fraudulent issuance, with a total fundraising amount of 1.25 billion yuan approved by the CSRC [4]. - The stock has experienced significant volatility, with a cumulative price drop exceeding 12% over three consecutive trading days in September 2025 [4].