Country Garden shares edge up after regulators hold back on fines over debt disclosures
Chinese developer says the delayed disclosure is due to ‘objective factors’, rather than a failure by the executives to properly discharge their duties
Shares of Country Garden inched higher on Wednesday after the Chinese property developer disclosed that the Shanghai Stock Exchange had issued a “circulated criticism” over its failure to disclose overdue debts in a timely manner.
Country Garden shares closed at HK$0.285, up about 1.8 per cent from Tuesday’s close of HK$0.280.
In a filing to the Hong Kong Stock Exchange on Tuesday night, Country Garden said it and three executive directors – chairwoman Yang Huiyan, co-chairman Mo Bin and chief financial officer Wu Bijun – recently received a “Decision on Disciplinary Action” from the Shanghai Stock Exchange.
The Shanghai exchange, which oversees disclosures for the company’s onshore bond listings, said Country Garden failed to disclose overdue debts on time during the periods from August to December 2023, from January to June 2024 and from July to December 2024, breaching its bond listing rules.
The Shanghai exchange imposed self-regulatory measures on the company and the named executives, issued a “circulated criticism” and recorded the matter in its integrity file database. But it did not issue fines.
Other named responsible persons were also subject to the measures, according to the filing.