Understanding the Market | WISON ENGRG fell over 20% in the closing session, Lukoil faced sanctions from the UK and the US, and the company terminated its existing contracts with Lukoil

WISON ENGRG fell over 20% in late trading, as of the time of publication, down 20.65% to HKD 0.365, with a trading volume of HKD 2.1492 million. In terms of news, WISON ENGRG announced that the company's board of directors learned that on October 15, the UK government imposed restrictive measures on Lukoil; on October 22, the U.S. Department of the Treasury's Office of Foreign Assets Control added Lukoil OAO and any entity that is directly or indirectly, individually or jointly owned 50% or more by Lukoil to the Specially Designated Nationals list. The announcement stated that after Lukoil was subjected to restrictive measures by the UK and added to the Specially Designated Nationals list by the U.S., the procurement and construction contracts signed with Lukoil will be terminated by November 21, with the accounts receivable from these contracts amounting to approximately RMB 8.3 billion. The group indicated that the revenue and gross profit from these contracts accounted for approximately 4% and 7.5% of the interim revenue and gross profit for the period ending in June, and the preliminary assessment is that the termination will not affect the business and financial condition