On June 26, Gelunhui announced that on June 25, 2024, the company received a letter from the Stock Exchange, which mentioned that the company's auditor, Kaiyuan Xinde Accounting Firm Co., Ltd., was unable to obtain sufficient and appropriate audit evidence to determine whether Loyal Brands International Limited and its subsidiaries have terminated the comprehensive recording in the company's comprehensive financial statements and have been properly recorded. The auditor did not express an opinion on the company's financial statements for the year ended December 31, 2023. The letter also listed the following guidelines for the resumption of trading of the company's shares:
(i) resolve the issues that led to the disclaimer statement, provide assurances that do not require further disclaimer statements, disclose sufficient information to allow investors to evaluate its financial position in accordance with the provisions of Rule 13.50A of the Listing Rules without being informed, (ii) comply with Rules 3.10, 3.21, 3.25 and 3.27A of the Listing Rules again; and (iii) disclose all important information to the market for the evaluation of the company's shareholders and investors.
The company is taking appropriate measures to comply with the guidelines for resumption of trading and the related listing rules listed therein and will make further announcements in a timely manner to keep the market informed of the latest developments of the Group.
Trading will continue to be suspended.