Sheung Moon Holdings (08523) announced that the company has received a petition from The Hong Kong and Shanghai Banking Corporation Limited (Petitioner) submitted to the High Court of the Hong Kong Special Administrative Region, relating to the High Court's ability to wind up the company on the grounds that the company, as guarantor, owes debts to the Petitioner under Chapter 32 of the Companies (Winding Up and Miscellaneous Provisions) Ordinance of Hong Kong law. The petition will be heard at the High Court on November 27, 2024.

The petition is aimed at the company, involving a financial responsibility of approximately 63.3 million Hong Kong dollars. Based on an unlimited guarantee signed by the company for the benefit of the Petitioner, the company has guaranteed the debts of Sheung Moon Construction Engineering Limited, an indirectly wholly-owned subsidiary of the company, to the Petitioner.

The company will negotiate with the Petitioner to settle the petition out of court and will apply for a recognition order from the High Court.