San'an Optoelectronics: The controlling shareholder's shares have been temporarily frozen; San'an Group has assembled a dedicated team to resolve the freezing of shares.

People’s Finance News, April 8—On April 8, Sanan Optoelectronics (600703) issued an announcement that the company recently received notice from its indirect controlling shareholder, Fujian Sanan Group Co., Ltd. (hereinafter referred to as “Sanan Group”). Sanan Group and the controlling shareholder, Xiamen Sanan Electronics Co., Ltd. (hereinafter referred to as “Sanan Electronics”), have had the company shares they hold placed under a reserve freeze. The total number of shares under this reserve freeze is 1.38B shares, accounting for 93.68% of the shares they hold and 27.60% of the company’s total share capital. As of the date of the announcement, Sanan Electronics and Sanan Group have cumulatively had a total of 1.47B shares placed under judicial freeze, representing 100% of the shares they hold and 29.47% of the company’s total share capital. The controlling shareholder also confirmed that the controlling shareholder and the company remain independent from each other in terms of assets, business, finances, and so on, and that there are no circumstances that harm the interests of the listed company, such as non-operational fund occupation or non-compliant guarantees. The frozen shares above will not, for the time being, have a major impact on the company’s control rights, equity structure, corporate governance, and other related matters. If the above-frozen shares are not properly resolved in the future, it may lead to scenarios such as forced transfer of ownership, judicial auction, and the like, thereby creating the risk of affecting the stability of the company’s control rights. Sanan Group has set up a dedicated team to address the matters related to the frozen shares, and is actively communicating with creditors to safeguard their lawful rights and interests. The government has also stepped in to actively coordinate and promote the early resolution of the debt issues. At present, the company’s production and operations and management are normal, and the above matters will not have an adverse impact on the company’s production and operations.