ST Sanmu and its wholly-owned subsidiary Fujian Sanmu Construction Development have been sued by China CITIC Bank Fuzhou Branch over a financial loan contract dispute, with the total amount involved approximately 77.8 million yuan. The case stems from loan contracts signed in February 2026, when Sanmu Group and Sanmu Construction Development respectively entered into 7 million yuan and 70 million yuan loan agreements with China CITIC Bank Fuzhou Branch. Due to failure to pay interest on time, the plaintiff declared the loans due early. The plaintiff's claims include repayment of loan principal and interest, with the total subject amount for the Sanmu Group case at 7.0849 million yuan and for the Sanmu Construction Development case at 70.7155 million yuan, and demands that Sanmu Group bear joint guarantee liability for Sanmu Construction Development's debt. The case is scheduled for trial on August 17, 2026, and has not yet been heard. The company stated that the litigation outcome is uncertain. In addition, other minor litigation and arbitration matters involving the company and its subsidiaries that do not meet disclosure thresholds total approximately 82.2052 million yuan, accounting for 68.14% of the most recent audited net assets. The company previously forecast a net loss attributable to the parent company of 770 million to 930 million yuan for the first half of 2026, a year-on-year plunge of 633.83% to 786.32%.
Fujian Sanmu Group Co LtdST Sanmu and subsidiary sued by CITIC Bank over loan default, total 77.8 million yuan, plus other minor litigations totaling 82.2 million yuan (68.14% of net assets).