NEW YORK–(BUSINESS WIRE)–Nam Tai Property Inc. (OTC Expert Market: NTPIF) (“Nam Tai” or the “Company”) today released the following company updates:
- Lender Notification – The Company’s subsidiaries in the PRC are facing ongoing legal proceedings and potential enforcement proceedings arising from the subsidiaries’ alleged failure to make outstanding payments under relevant manufacturing contracts. One of Nam Tai’s lending banks has informed the company that the terms of an acceleration on an approximately $81 million loan granted by certain of the company’s subsidiaries in China during the tenure of former executive Wang Jiabiao have been triggered and Zhang Yu, long ago -permanent subsidiaries of Kaisa. Nam Tai’s accounts at the bank currently only have enough funds to pay the interest payments on the loan for the next three months. The bank has expressed its ongoing concern at the continued impediment to the lawful transfer of onshore control to the company. The company is working with the bank to try to address the institution’s concerns without exhausting all cash and liquidity currently available. In addition, Company officials recently learned that Mr. Wang had received a reminder letter from another lending bank, addressed to certain of the Company’s PRC subsidiaries, requesting additional collateral for a loan of approximately US$140 million were requested.
- suspension of listing; Start of the delisting process – On November 17, 2022, the New York Stock Exchange (“NYSE”) announced that the staff of NYSE Regulation had decided to initiate proceedings to delist the Company’s common stock from the NYSE. Trading in the Company’s common stock has ceased as of May 23, 2022 and has now been suspended. NYSE Regulation announced that it has now decided to commence the delisting process for the Company’s common stock pursuant to Section 802.01E of the NYSE Listed Company Manual because the Company has failed to file its filing with the Securities and Exchange Commission (the “SEC ’) has filed annual report on Form 20-F for the year ended December 31, 2021 (the “2021 Form 20-F”). The Company is unable to file its 2021 Form 20-F until it gains access to the books and records and corporate records holdings of certain PRC incorporated subsidiaries of the Company that were refused to be handed over to the previous management team new Composite board and new management team. The Company has the right to have this determination reviewed by a committee of the NYSE Board of Directors. The NYSE stated that it will apply to the SEC to delist the common stock upon completion of all applicable proceedings, including any appeals by the company against the NYSE rule staff’s decision. Following the suspension of trading, the Company expects its common shares to be admitted to trading on the OTC Expert Market under the symbol “NTPIF”.
Additional information on the developments announced today and other corporate matters is included on the Form 6-K that Nam Tai will file with the SEC.
Certain statements, other than statements of historical fact, contained in this announcement are forward-looking statements. Forward-looking statements are generally identified by the use of forward-looking words such as “may”, “could”, “may”, “could”, “will”, “would”, “anticipate”, “believe”, “continue”, “estimate”. ‘, ‘expect’, ‘forecast’, ‘intend’, ‘plan’, ‘aim’ or ‘schedule’. These forward-looking statements, which are subject to risks, uncertainties and assumptions, may contain projections of our future financial performance based on our growth strategies and anticipated trends in our business and the industry in which we operate. Such forward-looking statements include, among other things, statements about the expected impact of the lender’s notification, the Company’s plans and expectations regarding litigation and regulatory actions, including those arising as part of the process of obtaining control on land and its ability to do so onshore control and its ability to generate sustainable value for stakeholders. These statements are only predictions based on our current expectations about future events. There are several factors, many of which are beyond our control, that could cause results to differ materially from our expectations, including but not limited to the future actions of Mr. Wang and Ms. Zhang, the Company’s success with respect to its litigation and regulatory actions, other obstacles to obtaining shore control, timing of obtaining shore control, access to bank accounts, other sources of liquidity and general market conditions in the real estate sector. Each of these factors, alone or in combination with one or more other factors, could adversely affect our business, results of operations or financial condition. There may also be other factors, which are currently unknown to us or have not been described by us, that could cause our results to differ from our expectations. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. You should not rely on any forward-looking statements as predictions of future events. These forward-looking statements speak only as of the date of this announcement; as such, they should not be relied upon unduly as circumstances change. Except as required by law, we are under no obligation and assume no obligation to publicly release any revisions to these forward-looking statements that may reflect events or circumstances that have occurred after the date of this announcement or those that may reflect the occurrence of unanticipated events.
About Nam Tai Property
Nam Tai Property Inc., a company incorporated and governed by the laws of the British Virgin Islands (the “BVI”), has certain subsidiaries that own and operate commercial real estate projects throughout China. These subsidiaries currently have two industrial complex projects, one in Guangming, Shenzhen and one in Bao’an, Shenzhen. Learn more about the company and certain subsidiaries’ real estate portfolio by emailing our Investor Relations team or by visiting Weibo: https://weibo.com/u/7755634761.