ST Cuihua reports three more major negative news; affected investors' compensation lawsuits need to be filed promptly

On April 1st, ST Cuihua (002731) closed at 7.37 yuan per share, a single-day decline of 2.12%, with the stock price falling below all moving averages.

In terms of news, on the evening of March 31st, ST Cuihua issued three announcements in succession, collectively exposing significant risks related to litigation, debt, and equity.

According to the “Announcement on New Cumulative Litigation, Arbitration Cases, and Progress of Disclosed Litigation Matters,” ST Cuihua and its subsidiaries had new litigation and arbitration cases involving approximately 311 million yuan over the past 12 months, with all new cases naming the company as the defendant.

The “Announcement on New Overdue Loans by Some Subsidiaries” shows that Shenzhen Cuihua, a subsidiary of the company, experienced some loans not being repaid on time due to liquidity shortages. As of the disclosure date of this announcement, Shenzhen Cuihua had five new overdue loans from banks and other financing institutions, with an overdue principal of 117.6452 million yuan; the company and its subsidiaries have a total overdue principal of 494.0084 million yuan.

Additionally, the “Announcement on the Freezing of Subsidiary Equity” indicates that the equity of the company’s wholly owned subsidiaries Shenzhen Cuihua, Xinhua Feng, and Stellite Lithium has been frozen by the court, with a total frozen amount of 399.98M yuan.

The risks faced by ST Cuihua may not be limited to this; the company is also currently facing litigation claims from investors due to violations of information disclosure regulations.

On February 9, 2026, ST Cuihua disclosed that it received a “Notice of Filing” from the China Securities Regulatory Commission (CSRC), as the company was suspected of violating information disclosure laws and regulations, and the CSRC decided to initiate proceedings against the company. As of now, the company has not received any conclusive opinions or decisions from the CSRC.

According to available information, lawyer Liu Peng from Shanghai Huzhi Law Firm stated that, preliminarily, investors who bought ST Cuihua shares before and including February 9, 2026, and still held these shares at the close of trading on February 9, 2026, may have the opportunity to claim compensation. Eligible investors can participate in the pre-claim collection through the official account “Public Securities News” (feature code: 11). The specific conditions for claims will be subject to subsequent investigation results and court rulings.