Hong Kong, 25 March 2026—Shanxi Changcheng Microlight Equipment Co., Ltd. (CCOE) disclosed that its auditors have issued a disclaimer of opinion on the 2024 financial statements because of net current liabilities and capital shortages. Management, the Board and the Audit Committee maintain that the Group remains a going concern and have outlined a multi-step remediation programme.
Debt restructuring and interest relief • Three key creditors agreed in 2023–2024 to extend loan maturities to 31 December 2026, covering principals of RMB14.60 million, RMB6.96 million and RMB50.00 million. Interest totalling RMB35.00 million has been waived. • CCOE is negotiating to push the maturities further to 31 December 2029, convert a portion of debt to equity, and secure an additional interest reduction of about RMB8.00 million. • Talks are under way with two major lending institutions on a broader restructuring package aimed at easing short-term cash flow pressure.
Bank facilities and shareholder support • The remaining balance on a Hua Xia Bank loan is roughly RMB6.00 million. Renewal and credit-line enhancement discussions with several banks are targeted for completion in 4Q26. • Beijing Gensir Venture Capital Management signed a five-year, RMB20.00 million loan agreement on 31 May 2023 and has already advanced around RMB8.00 million for operating needs.
Placing plan Potential investors require revisions to the articles of association to align Mainland and Hong Kong regulations. A new legal team is being appointed; once revisions are approved, CCOE will immediately pursue a share placement to strengthen capital structure.
Asset disposal The company expects to obtain real-estate ownership certificates by end-2026, convene a shareholder meeting and complete disposal of designated properties in 3Q–4Q26, unlocking liquidity.
Operational optimisation Three new customers have moved into substantive cooperation phases, while another three have commenced supply and partial payment. Incremental production capacity is being added using internally generated funds, with a broader technology upgrade planned after liquidity improves.
Auditor’s stance The auditors indicated that the disclaimer may be lifted if CCOE can: 1. Secure sufficient funding within 12 months to cover existing net current liabilities; and 2. Meet profit and cash-flow projections through 2026.
Board view The Board and Audit Committee endorse management’s plans—debt restructuring, bank renewals, shareholder loans, placing, asset disposal and customer diversification—as the pathway to remove the going-concern disclaimer. CCOE will continue to update the market on progress and cautions investors to monitor future announcements.