TYK MEDICINES-B (ASX: 02410) has announced that the company recently filed a case with the Changxing County People's Court, initiating legal proceedings against Sichuan Huiyu Pharmaceutical Co., Ltd. (Huiyu). The company is seeking judicial confirmation that a purported TY-9591 related cooperation agreement and distribution agreement claimed to have been entered into with Huiyu were not established and are invalid.

The company has also received a case acceptance notice from the Neijiang City Shizhong District People's Court regarding a case filed by Huiyu concerning the same alleged cooperation agreement, distribution agreement, and related documents purportedly entered into between the company and Huiyu. Both cases have been filed but have not yet been heard in court.

The Board of Directors has sought legal advice regarding these court notices and the related legal proceedings and will continue to do so. It will also continue to assess and monitor the potential legal, operational, and financial impact of the proceedings on the Group. Following preliminary consultation with the company's Chinese legal counsel, the Board believes the company has reasonable grounds to challenge the establishment and validity of the purported cooperation and distribution agreements, supporting the company's position. The company intends to take all necessary measures to protect its legitimate rights and interests.

As of the date of this announcement, to the best of the Board's knowledge, the legal proceedings have not had any material adverse impact on the Group's overall business, operations, or cash flow position. The Group's business and operations remain normal.