CHINA RESOURCES AND TRANSPORTATION GROUP LIMITED (Stock Code: 269) recently released a quarterly update concerning the measures to resolve the going concern issue highlighted in the auditors’ disclaimer of opinion. According to the announcement, the primary areas of focus include progress in Zhunxing’s debt restructuring, handling of other debts and non-convertible bonds, and securing new financing sources.

In terms of Zhunxing’s debt restructuring, approximately RMB13.87 million remains retained by Zhunxing pending submission of certain project completion documents. Furthermore, approximately RMB6.88 billion of secured and unsecured debts is set to be converted into 49% equity of Zhunxing, and the relevant capitalisation plan is legally binding. Finalisation of the plan and its legal agreements is pending consensus among involved parties.

The announcement also notes ongoing discussions with other lenders and non-convertible bondholders regarding possible extensions of standstill letters or revised debt repayment schedules. Efforts to secure new financing to strengthen the Group’s working capital and liquidity are continuing.

The Group continues its principal operations in expressway management, CNG station services, as well as in forage, agricultural, and timber businesses. No interruptions to day-to-day operations have been reported. The announcement affirms that any further developments will be disclosed as required by applicable regulations.