First Sponsor Group Limited said on Jul, 21 2026 that it has received unfavourable judgments from the Dongguan No. 2 People’s Court over the purchase of residential units in the Humen Oasis Mansion project.

The court ruled that the company’s subsidiaries and the project company engaged in malicious collusion, declared the sale-and-purchase agreements invalid and ordered the units’ ownership to be restored to the project company within 30 days. The ruling did not specify how the project company should repay the about 55.7 million Singapore dollars already paid by First Sponsor’s subsidiaries, and the group believes recovery is unlikely given the counterparty’s financial position.

Following the decision, First Sponsor plans to recognise an impairment of about 36.7 million Singapore dollars on the units and related value-added tax recoverable in its unaudited results for the half year ended Jun, 30 2026. The assets had been carried at roughly 32.1 million Singapore dollars as of the same date.

The group is reviewing the judgments and may file an appeal. It will issue further updates as required. Shareholders and investors are advised to exercise caution.