Vantone Neo Files for Arbitration Over Source Photonics' Defaulted Loans

Vantone Neo Development Group posted an asset impairment provision of 288.2 million yuan for 2024, according to a Shanghai Stock Exchange disclosure on April 30.

The asset impairment provision included long-term equity investments, inventory write-downs, and credit loss provisions for receivables.

The asset impairment provision will reduce the Chinese real estate developer's 2024 consolidated pre-tax profit by the same amount, the disclosure said.

Vantone Neo Development Group posted an asset impairment provision of 288.2 million yuan for 2024, according to a Shanghai Stock Exchange disclosure on April 30.

The asset impairment provision included long-term equity investments, inventory write-downs, and credit loss provisions for receivables.

The asset impairment provision will reduce the Chinese real estate developer's 2024 consolidated pre-tax profit by the same amount, the disclosure said.

Vantone Neo Development Group agreed to terminate its plan to acquire a controlling stake in US optical communication device developer Source Photonics, according to a Shanghai Stock Exchange disclosure on Tuesday.

The Chinese real estate developer withdrew from the transaction as the parties did not reach an agreement on certain terms, the disclosure said.

In June 2024, Vantone planned to purchase about 60% of Source Photonics for $2.62 per share, Yicai Global reported.

The company's shares dropped 10% in recent trade.

Nanfang Communication Holdings said a formal sale and purchase agreement between its subsidiary Pacific Smart Development as the seller and Vantone Neo Development Group as the buyer, was terminated on Friday, a Monday Hong Kong bourse filing said.

Pacific Smart had agreed to sell 8,235,293 class A preferred shares or 4% shareholding of Source Photonics Holdings to Vantone Neo Development Group for $21.6 million on June 28, 2024. The agreement was supplemented thrice.

The company was also informed that the sale and purchase agreement for the sale of another 115,518,410 shares, or 56.15% of the target company's shareholding by its 11 other shareholders to the buyer was also terminated on the same day.