China High Speed Transmission Equipment Group Co., Ltd. (658) proposed removing HLB Hodgson Impey Cheng Limited (HLB Hodgson) as its auditor and appointing Prism Hong Kong Limited (Prism) in its place. The matter will be decided at an extraordinary general meeting (EGM) to be convened following strong opposition from the controlling shareholder, Fullshare Holdings Limited (Fullshare), which currently holds approximately 71.08% of the company’s issued shares.

Fullshare has indicated a preference for Prism, as Prism already audits Fullshare’s own statements. A majority of the board and the audit committee supported convening the EGM to vote on removing HLB Hodgson and appointing Prism. HLB Hodgson did not voluntarily resign in response to this proposal.

Due to these auditor-related uncertainties, the publication of audited financial results for the year ended 31 December 2025 is expected to be delayed. Under stock exchange rules, the company must announce its 2025 results on or before 31 March 2026 and dispatch its annual report on or before 30 April 2026. As the earliest completion date of Prism’s audit plan is end-May 2026, the company will not meet these deadlines.

Consequently, trading in the company’s shares on the Stock Exchange will be suspended from 9:00 a.m. on 1 April 2026. The company plans to finalize its financial statements as soon as possible and apply for trading resumption once the annual results announcement and annual report are published.

Shareholders and investors are advised to proceed with caution in dealings involving the company’s shares. A circular and notice regarding the EGM will be dispatched as soon as practicable.