*ST Huawen discloses progress on guarantees for subsidiary-related debts; may still face claims from previous information disclosure issues

Why Do AI Disclosure Issues Trigger a Surge in Investor Claims?

Radar Finance | Written by Feng Xiuyu, Edited by Li Yihui

On March 16, *ST Huawen (000793) announced that it provided a joint liability guarantee for its wholly owned subsidiary Hainan Huawen Jincheng Investment Co., Ltd. (formerly Shan Nan Huawen Venture Capital Co., Ltd.), involving a principal debt not exceeding 200 million yuan.

Currently, Hainan Huawen Jincheng needs to pay the principal transfer price of 72.89 million yuan and related fees. The Shanghai Financial Court has issued a final judgment, upholding part of the first-instance decision with some modifications. As the guarantor, *ST Huawen is required to bear joint and several liability for repayment, but the specific impact is still uncertain. Additionally, the company faces other small claims totaling approximately 180.3014 million yuan.

It is worth noting that ST Huawen may also face shareholder claims due to disclosure issues.

In this regard, Song Lianmin, director of Jiangsu Shengheng Law Firm, who has extensive experience in stock rights protection and has won hundreds of investor claims, told Radar Finance that according to the Securities Law and related regulations, injured investors can safeguard their rights. Investors who bought ST Huawen stock between April 27, 2022, and April 19, 2024, and held the stock as of the close on April 19, 2024, can register to claim compensation. To participate, follow the public account “Lei Zhu Ba” (Lei Zhu Code: 99). There are no fees before receiving compensation.

According to Tianyancha, *ST Huawen was established on September 12, 1991, with a registered capital of approximately 1.997 billion yuan. The legal representative is Gong Yuguo, and the registered address is 28th Floor, Global Trade Window, No. 15A Guoxing Avenue, Meilan District, Haikou, Hainan Province. Its main business includes cultural tourism and media operations.

Currently, the company’s chairman is Gong Yuguo, the secretary of the board is Liao Xian, with 305 employees. The actual controlling shareholder is Guoguang Global Media Holdings Co., Ltd.

The company has stakes in 114 subsidiaries, including Hainan Nanhai Zhixing Tourism Development Co., Ltd., Shaanxi Ruyan Real Estate Co., Ltd., Shaanxi Ruishi Real Estate Co., Ltd., Guoshi Communications (Shanghai) Co., Ltd., and Hainan Huawen Jincheng Investment Co., Ltd.

In terms of performance, the company’s revenue for 2022, 2023, and 2024 was 580 million yuan, 567 million yuan, and 336 million yuan, respectively, with year-on-year changes of -24.80%, -2.27%, and -40.75%. Net profit attributable to the parent was -683 million yuan, -1.10 billion yuan, and -708 million yuan, with year-on-year declines of -5189.72%, -60.91%, and 35.60%. During the same period, the company’s asset-liability ratio was 55.13%, 61.76%, and 78.97%.

Regarding risks, Tianyancha data shows the company has 388 internal risks, 4,008 surrounding risks, 355 historical risks, and 518 warning risks.