Zhitong Finance App News, Taihe Holdings (00718) issued an announcement. Guangzhou Rongzhi recently received a ruling from the People's Court of Shenhe District of Shenyang City to file a lawsuit claim against Guangzhou Rongzhi in connection with the loan amount of Shenyang Huangcheng Diyi Avenue Public Facilities Management Co., Ltd. described in the previous announcement (Shenyang Imperial City Decision) (Shenyang Imperial City Loan). According to the Shenyang Imperial City Judgment, the Chinese court ordered the defendants (including) Mr. Dai, other Chinese companies, and Guangzhou Rongzhi) to pay administrative expenses of approximately RMB 400,000 to the relevant Chinese court within 10 days of the entry into force of the Shenyang Imperial City Judgment, and to pay the judgment amount of approximately RMB 74.4 million to the other claimant banks. This amount was calculated based on (among others) the outstanding principal, interest and losses payable under the Shenyang Imperial City Loan and allegedly guaranteed by Guangzhou Rongzhi.

The Company and Guangzhou Rongzhi are seeking legal advice on the Shenyang Imperial City Judgment from Chinese legal advisers appointed to provide opinions on the above lawsuit claims, including but not limited to filing an appeal with the Chinese courts within the time limit stipulated by applicable Chinese laws and regulations.