Chiho Environmental Group Limited (Chiho Environmental, HKEX: 00976) has withdrawn its legal action against the receivers appointed over certain subsidiaries, filing a Notice of Discontinuance with Hong Kong’s High Court on 19 August 2026.

The discontinued proceedings stemmed from a US$0.30 billion syndicated term loan inked in July 2018. Following a payment default in April 2024, receivers were appointed in May 2025, leading to a series of writs and, ultimately, the disposal of the Scholz Group on 31 July 2026. Subsequent discussions between Chiho Environmental and the receivers have now produced agreement to end the court case.

The Board states that terminating the litigation serves the best interests of the company and shareholders. Management will continue consulting advisers and seek further details from the receivers regarding the completed Scholz Group transaction.

Trading in Chiho Environmental’s shares has been halted since 1 April 2025 and will remain suspended pending fulfilment of resumption guidance from the Hong Kong Stock Exchange. The company pledges to issue additional announcements in accordance with listing requirements.

As of 19 August 2026, the Board comprises Executive Directors Fu Tao (Chairman), Chu Yuejiang, Yao Xiang, Yang Wei and Zhou Shuli, alongside Independent Non-Executive Directors Ng Man Fung Walter, Wu Jian and Choi Wai Hong Clifford.