Gelonghui, May 8, 丨 Territory Holdings (06999.HK) announced that Chengdu Sensiyi Enterprise Management Consulting Co., Ltd. filed a bankruptcy application against the company's two subsidiaries, Chengdu Lingyuan Yinghe Real Estate Co., Ltd. (“Chengdu Lingyuan”) and Chengdu Runde Yinghe Real Estate Co., Ltd. (“Chengdu Runde”). On May 6, 2024, the People's Court of Shuangliu District of Chengdu decided to accept bankruptcy applications against Chengdu Lingyuan and Chengdu Runde.

The company believes that bankruptcy and liquidation procedures are not the overall best option for Chengdu Lingyuan, Chengdu Runde, and creditors. However, unlike bankruptcy and liquidation procedures, restructuring procedures are the best option. By realigning assets and liabilities and rearranging operations and management, the debtor entity can be saved, so that the entity can resolve financial difficulties and restore its ability to develop.

The company is seeking professional advice on this.