Wisdom Wealth Investment (00007.HK) announced that on the 5th of this month, it received a judgement from Zhanjiang Court, ordering its wholly-owned subsidiary Guangdong Port Yue to make a payment of approximately 59 million RMB (same below) to Shenzhen Zhongwan for completed construction project funds, plus overdue interest and expected profit loss of approximately 79 million RMB, totaling approximately 0.138 billion RMB.

Wisdom Wealth Investment believes that the accusations made by Shenzhen Zhongwan are unfounded. It has filed an appeal against the aforementioned judgement on the 18th of this month to safeguard the overall interests of the company and its shareholders.

In addition, Guangdong Port Yue is involved in another construction contract dispute, involving a contract amount of approximately 22 million RMB plus overdue interest. As of yesterday (27th), Wisdom Wealth Investment has not received the judgement from Zhanjiang Court. Depending on the outcome of the judgement from Zhanjiang Court, it may result in Guangdong Port Yue being required to compensate or fulfill its relevant responsibilities under the construction contract.

Wisdom Wealth Investment shares have been suspended from trading on the Hong Kong Stock Exchange since April 2nd this year and will continue to be suspended until the company meets all the conditions for resumption of trading. (js/k)

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