Core Points - The Singapore High Court ordered Dynamic Treasure Group Ltd to return 15.5% of SMCP shares to European Topsoho S.à r.l. within a week [1] Group 1: Company Background - From 2010 to 2019, Qiu Yafu invested up to 40 billion RMB in global acquisitions, including SMCP, Renown, Bally, and Leica [5] - In 2016, Shandong Ruyi, through European Topsoho, acquired a controlling stake in SMCP for 1.3 billion euros, which included brands like Sandro, Maje, and Claudie Pierlot [5] - Following the acquisition, SMCP's revenue nearly doubled in three years, making it one of the best assets under Shandong Ruyi's cross-border investments [5] Group 2: Financial Challenges - The short-term borrowing and long-term investment model led to increased leverage for Shandong Ruyi, exacerbated by the bankruptcy of Renown and failed acquisitions [6] - In September 2021, European Topsoho defaulted on 250 million euros of debt, resulting in the transfer of SMCP's control to GLAS [6] - GLAS accused Shandong Ruyi of illegally transferring remaining SMCP shares to Dynamic Treasure Group for a nominal value of one euro [6] Group 3: Legal Proceedings - The UK High Court ruled that the transaction involving Dynamic Treasure was invalid, requiring the return of the shares, with the case now moved to Singapore [6] - This situation is particularly significant for European Topsoho's creditors, who are eager to reclaim the "missing" shares for potential sale [7] - Qiu Yafu has faced multiple legal actions, with execution targets exceeding 1 billion RMB, leading to his reputation as a "defaulter" [7]

Core Viewpoint - The Singapore High Court has ordered Dynamic Treasure Group Ltd to return a 15.5% stake in SMCP to European Topsoho S.à r.l. This order must be complied with within one week of notification, although it remains subject to potential appeal [1][2]. Group 1: Company Overview - SMCP is a global leader in the accessible luxury market, featuring four Parisian brands: Sandro, Maje, Claudie Pierlot, and Fursac. The company operates in 53 countries and has over 1,600 stores globally, along with a strong digital presence [3]. - The company is led by CEO Isabelle Guichot and was founded by Evelyne Chetrite and Judith Milgrom in Paris in 1984 and 1998, respectively. Claudie Pierlot and Fursac were acquired by SMCP in 2009 and 2019 [3]. - SMCP is listed on the Euronext Paris regulated market, with the ISIN Code FR0013214145 and ticker SMCP [3].

Group 1 - The Annual General Shareholders' Meeting of SMCP took place on June 12, 2025, with 57.52% of the share capital participating [2] - The meeting approved all resolutions, including the statutory and consolidated financial statements for the 2024 financial year [2] - The term of office for Christophe Cuvillier as Chairman and Isabelle Guichot as CEO was renewed for four years, along with other members of the General Management team [3] Group 2 - Dynamic Treasure Group Ltd. (DTG), holding a 15.5% stake, was deprived of voting rights above 1% since June 2022 due to failure to declare shareholder threshold crossings [5] - SMCP is a global leader in the accessible luxury market with four Parisian brands: Sandro, Maje, Claudie Pierlot, and Fursac, operating over 1,600 stores in 53 countries [6]

Core Viewpoint - The company reported solid sales growth in Q1 2025, driven primarily by strong performance in France and the EMEA region, while facing challenges in Asia due to network optimization efforts in China [2][6][13]. Sales Performance - Total sales for Q1 2025 reached €297 million, reflecting a 2.6% organic growth compared to €287 million in Q1 2024 [6]. - Sales by region: - France: €102.1 million, up 4.0% organically [4]. - EMEA (excluding France): €98.0 million, up 9.2% organically [7]. - America: €43.9 million, up 2.0% organically [9]. - APAC: €52.7 million, down 9.5% organically [11]. - Sales by brand: - Sandro: €147.5 million, up 4.2% organically [6]. - Maje: €110.7 million, up 0.8% organically [6]. - Other brands: €38.4 million, up 2.3% organically [6]. Market Dynamics - The company is gaining market share in France and EMEA, with a positive trend in the U.S. market despite a challenging environment [2][6]. - The strict full-price strategy is being emphasized, particularly at Maje, leading to a decrease in the average discount rate by three points compared to Q1 2024 [6][9]. - The action plan in Asia is starting to show results, with stabilization in sales performance in Chinese stores [11]. Network Optimization - The company recorded nine net store closures in Q1 2025, primarily at Claudie Pierlot, as part of its network optimization strategy [5][10]. - The total number of points of sale (POS) decreased to 1,640, with significant closures in Canada and APAC [19]. Future Outlook - The company approaches the upcoming months with cautious confidence, focusing on cost control, operational agility, and sustainability to maintain profitable growth [2][13].