Raffles Interior Faces Complaint Over Alleged PRC FX Breaches Tied to HK$300 Million Deal

Raffles Interior Ltd. ( (HK:1376) ) has provided an update.

Raffles Interior Limited has disclosed that it received an anonymous complaint letter sent to Hong Kong regulators and the company, alleging that executive director and controlling shareholder Zheng Nenghuan and related parties may have violated PRC foreign exchange control regulations and improperly transferred domestic PRC assets overseas in connection with a proposed HK$300 million acquisition. The complaint questions the recent intra-group transfer of Shenzhen Jinxu Technology Co., Ltd., which holds land-use rights in mainland China, to the acquisition target vehicle ultimately controlled by Zheng, and highlights an apparent absence of required foreign exchange registration under PRC Circular No. 37, warning that proceeding with the deal without rectifying this could expose the company to regulatory risk in China and potentially harm minority shareholders’ interests.

The most recent analyst rating on (HK:1376) stock is a Hold with a HK$0.19 price target. To see the full list of analyst forecasts on Raffles Interior Ltd. stock, see the HK:1376 Stock Forecast page.

More about Raffles Interior Ltd.

Raffles Interior Limited is a Hong Kong-listed company incorporated in the Cayman Islands, operating in the interior solutions and related services sector, with its shares traded on the Main Board of the Stock Exchange of Hong Kong under stock code 1376. The company’s shareholder base includes a controlling shareholder and executive director, Zheng Nenghuan, reflecting a governance structure where related-party transactions and regulatory compliance are closely scrutinised by Hong Kong and PRC authorities.

Average Trading Volume: 3,767,024

Technical Sentiment Signal: Buy

Current Market Cap: HK$178M

See more data about 1376 stock on TipRanks’ Stock Analysis page.