On June 2, in compliance with the arrangements for the transitional period prescribed by the new delisting rules, and according to the Implementation Measures on Mandatory Delisting of Listed Companies due to Major Violations of Law, Articles 14.4.1 and 14.4.2 of the Rules Governing Share Listing (Revised in November 2018) and the review opinions of the SZSE Listing Committee, SZSE decided to delist Steyr Motors Co., Ltd. (“*ST Steyr” or the “Company”) for major violations of law. It is a concrete measure of SZSE to implement according to laws the important decisions and plans of the CPC Central Committee and the State Council on fighting securities crimes, improve the market- and law-based regular delisting mechanism, strictly perform duties as the principal that carries out delisting, and crack down on malicious circumvention of delisting rules and laws.
According to the Written Decision of Administrative Penalty issued by China Securities Regulatory Commission (“CSRC”) on 31 March 2021, *ST Steyr have made false financial statements in its annual reports from 2014 to 2016. The facts ascertained and the annual reports of the Company indicate that the net profit attributable to its shareholders (the “net profit”) in any four consecutive fiscal years from 2015 to 2019 was negative, triggering a mandatory delisting due to major violations of law as described by Articles 2 and 4 of SZSE’s Implementation Measures on Mandatory Delisting of Listed Companies due to Major Violations of Law. *ST Steyr has been suspended from listing since 6 July 2020 because its audited net profit was negative for three consecutive fiscal years from 2017 to 2019, and the Company failed to disclose the first annual report following the listing suspension within the statutory period, which is a reason for finance-related delisting pursuant to Article 14.4.1 of Rules Governing Share Listing (Revised in November 2018). *ST Steyr has thus triggered a mandatory delisting both for major violations of laws and financial reasons. The time point for a finance-related delisting is earlier than that of mandatory delisting due to major violations of laws, therefore the procedure that first applies will be initiated, and the Company will be delisted following the finance-related delisting procedure.
As per Article 14.4.23 of Rules Governing Share Listing (Revised in November 2018), *ST Steyr will enter the delisting transitional period and be traded on the risk warning board for 30 trading days beginning on 10 June 2021. The stock abbreviation will be changed to “Steyr Delisting”, and the daily price limit is 10%. SZSE will delist *ST Steyr on the next trading day upon the expiry of the delisting transitional period. SZSE advises investors to pay close attention to the transaction risk of the Company’s stock, conduct rational analysis, and avoid blindness in investment.
An official of SZSE pointed out that the delisting system for listed companies is an important basic system in the capital market and is of great significance to purifying the market environment, refining the mechanism for the survival of the fittest and improving the quality of listed companies. SZSE will faithfully practice the principles of “system building, non-intervention, and zero tolerance” and the requirements of “standing in awe of the market, rule of law, professionalism and risks and pooling the efforts of all sides to develop the capital market”. We will earnestly fulfill frontline regulatory responsibilities, strictly perform our duties as the principal that carries out delisting, and firmly uphold the seriousness and authority of the delisting system. We will ensure timely delisting and unimpeded market exit, and facilitate the formation of a sound market ecosystem, to further maintain the healthy and stable development of the capital market.
