Tongwei Co., Ltd. announced that it has suspended the issuance of certain shares due to a significant decrease in the quality of its investment assets. This decision was made in light of ongoing regulatory scrutiny regarding the company’s asset quality. The announcement was made on May 30, 2025, at 05:06 AM, according to a report from Shanghai Securities News via the Xinhua Finance App.
The company, identified by the stock code 600438, has a short name of Tongwei. The stock code for the special trading is 2025-057, while its abbreviated name is Tong22. The firm has recently faced challenges concerning the quality of its assets, which has raised concerns among investors and regulatory bodies alike.
As of the suspension date, Tongwei had accumulated an asset quality score of 509,260,000, representing 11.31% of the total shares issued by the company. Following the suspension, the company’s overall asset quality was reported to be 25.01%. This situation has led to increased scrutiny from regulatory authorities, prompting the company to address its asset quality issues more proactively.
In the report, there were several specific points highlighted regarding the asset quality concerns. These include:
- 1. The current asset quality has reached a critical level, indicating a need for immediate remediation.
- 2. The company’s assets earmarked for significant write-downs are not in line with regulatory requirements.
- 3. The cumulative asset quality score has shown significant deterioration, necessitating urgent corrective actions.
Additionally, the company reported that it has received a warning regarding the quality of its assets, which has compounded investor concerns about its financial health. The company has committed to improving its asset management practices to restore investor confidence and comply with regulatory standards.
It is noted that Tongwei Co., Ltd. is actively working on strategies to mitigate the impact of these asset quality issues and is expected to provide updates on its progress in future communications.
For more detailed information, investors can refer to the latest announcements on the Tongwei investor relations page.
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