BROAD HOMES plans to apply for bankruptcy reorganization on its own to the Changsha Intermediate People's Court
BROAD HOMES has decided to apply for bankruptcy reorganization on its own to the Changsha Intermediate People's Court, facing debt and operational crises due to the impact of the macro economy, real estate regulation, and the pandemic. The company's board of directors held a meeting on October 9, 2025, to review and approve this decision, believing that the company meets the conditions for bankruptcy reorganization and has reorganization value. The company will convene a shareholders' meeting in due course to review relevant proposals and will promptly inform shareholders and investors of any developments
According to the Zhitong Finance APP, BROAD HOMES (02163) announced that the company's board of directors will hold the first meeting of the fourth board on October 9, 2025, to review and approve the proposal for the company to apply for bankruptcy reorganization on its own.
In recent years, affected by the macro economy, real estate regulation, and the pandemic, the company has been deeply trapped in debt and operational crises. Although it has taken various self-rescue measures, the results have been unsatisfactory, and various risks have fully emerged and are continuously escalating. According to the relevant provisions of the Company Law of the People's Republic of China and the Enterprise Bankruptcy Law of the People's Republic of China, given the company's operational difficulties, it can no longer repay the debts due to creditors and is clearly lacking in repayment ability. The company meets the conditions specified in Articles 2 and 7 of the Enterprise Bankruptcy Law of the People's Republic of China for reorganization. At the same time, the company has a deep technical reserve, a high industry position, and strong brand influence in the prefabricated construction industry, which provides value for reorganization. As a listed company on the Stock Exchange, it has certain platform resource advantages and is expected to introduce quality strategic investors through reorganization to resolve debt risks, further enhance the company's core competitiveness, and better create value for shareholders, employees, and society. Based on the above reasons, in accordance with the company's actual operational needs and the principles of prudence, appropriateness, and necessity, the company intends to apply to the Changsha Intermediate People's Court for bankruptcy reorganization in accordance with the relevant provisions of the Enterprise Bankruptcy Law of the People's Republic of China and the Articles of Association of Changsha BROAD Residential Industrial Group Co., Ltd. The company will convene a shareholders' meeting in due course to review the proposal for the company to apply for bankruptcy reorganization on its own.
As of the date of this announcement, there is significant uncertainty regarding whether the bankruptcy reorganization application will be accepted by the court and whether the company will enter the reorganization process. The company will inform shareholders and investors of any significant developments regarding the company's pre-reorganization application and will make further announcements in accordance with the listing rules at an appropriate time
