Haichang Holdings Ltd

Three listed companies disclosed tonight that their actual controller or the company itself has been placed under investigation. Yu Faxiang, the actual controller of Xiangyuan Culture and Tourism and Jiaojian Co., Ltd., has been placed under investigation by the China Securities Regulatory Commission on suspicion of illegal information disclosure. *ST Nachuan has been placed under investigation by the China Securities Regulatory Commission over suspected illegal information disclosure in its 2023 annual report, with the company itself as the subject of the probe. Yu Faxiang is also the actual controller of Xiangyuan Holdings Group. In October 2024, the two companies disclosed that he had received a notice of investigation from the CSRC. In December of the same year, the Zhejiang branch of the CSRC imposed administrative penalties on Xiangyuan Culture and Tourism and relevant responsible persons for failing to disclose non-operating capital occupation by the actual controller and related parties as required. At the end of 2025, the three listed companies under his actual control, Xiangyuan Culture and Tourism, Jiaojian Co., Ltd., and Haichang Ocean Park, simultaneously announced that Yu Faxiang had been subjected to compulsory criminal measures on suspicion of committing a crime. Both Xiangyuan Culture and Tourism and Jiaojian Co., Ltd. stated that Yu Faxiang holds no position in the companies other than as actual controller, that production and operations are normal, and that the relevant matters will not have a major impact, but the announcements did not disclose the specific matters involved in the suspected illegal information disclosure. In 2023, *ST Nachuan achieved operating revenue of 396 million yuan and a net loss attributable to the parent company of 513 million yuan. In the first half of this year, operating revenue was 66.85 million yuan, up 88.10 percent year on year, while the net loss attributable to the parent company was still 82.68 million yuan. As of the end of June 2026, overdue borrowings reached 505 million yuan. The company has entered pre-reorganisation proceedings and disclosed tonight its sixth risk warning announcement that its shares may be delisted.

Zhejiang Xiangyuan Cultural Tourism Co., Ltd. and Anhui Transport Construction Co., Ltd. both announced on October 9 that they had received notice from actual controller Yu Faxiang that day, stating he had received a case filing notice from the China Securities Regulatory Commission. Because Yu Faxiang is personally suspected of illegal information disclosure, the CSRC decided to place him on file. Both companies said that apart from being the actual controller, Yu Faxiang holds no position in either company, operations are normal, and the matter will not have a material impact on normal production and operations. Earlier, in December 2025, media reported that some financial asset income rights products traded on the Zhejiang Financial Assets Exchange platform failed to pay out at maturity, and the credit enhancers for the unpaid products were all Xiangyuan Holding Group Co., Ltd. and Yu Faxiang. On December 16 of the same month, Xiangyuan Cultural Tourism and Anhui Transport Construction announced that shares held by the actual controller, controlling shareholder and their concert parties had been judicially frozen and subject to pending freezes. On December 22, Xiangyuan Cultural Tourism, Anhui Transport Construction and Haichang Ocean Park simultaneously announced that Yu Faxiang had been subjected to criminal compulsory measures by the Shaoxing Municipal Public Security Bureau on suspicion of crimes. On January 21 this year, Haichang Ocean Park announced that Yu Faxiang had resigned as executive director, chairman of the board and chief executive officer. On July 6 this year, Xiangyuan Cultural Tourism announced that Zhejiang Tourism Investment Group Co., Ltd. had successfully bid in a judicial online auction for a total of 105,500,000 shares of Xiangyuan Cultural Tourism held by Anhui Xiangyuan, a concert party of the company's controlling shareholder Xiangyuan Tourism Development, for a total of 616.12 million yuan. Another announcement on October 9 showed that the transfer registration for those 105,500,000 unrestricted tradable shares had been completed, reducing Anhui Xiangyuan's holding to 111,331,958 shares, or 10.56 percent of total share capital, while the combined holding of Yu Faxiang, Xiangyuan Tourism Development and Anhui Xiangyuan fell to 506,933,915 shares, or 48.07 percent of total share capital. In the first half of this year, Xiangyuan Cultural Tourism reported revenue of about 555 million yuan, up 7.8 percent year on year, and net profit attributable to the parent of about 46.46 million yuan, down 47.22 percent year on year. During the Mid-Autumn Festival holiday, its scenic areas received 247,000 visitors, up 84.24 percent from 2024, and during the National Day holiday cumulative visitor numbers reached 1,084,400, with operating revenue of 61.7058 million yuan. As of the A-share close that day, Xiangyuan Cultural Tourism traded at 5.26 yuan per share, up 1.35 percent.

Xiangyuan Group has hastily sold a core stake in Haichang Ocean Park just nine months after spending 2.295 billion Hong Kong dollars to take control. On the evening of July 30, Haichang Ocean Park announced that Xiangyuan Xinghai, a unit under Xiangyuan Group, sold 1.675 billion shares at 0.45 Hong Kong dollars per share to HH SeaPark Holding, representing 12.67 percent of total share capital, for a total consideration of approximately 754 million Hong Kong dollars. Concurrently, Qu Cheng, a representative of the founding family, sold 1.2 billion shares at 0.30 Hong Kong dollars per share, representing 9.08 percent of total share capital, for approximately 360 million Hong Kong dollars. The two transactions involve a combined 2.875 billion shares for a total amount of about 1.114 billion Hong Kong dollars. The ultimate beneficial owner of the buyer is Mei Zhiming, co-founder of GLP. After the transactions, Xiangyuan Xinghai's shareholding will drop from 38.60 percent to 25.92 percent, losing its status as controlling shareholder, and Haichang Ocean Park will become a company with no actual controller. The sale price of the shares equals Xiangyuan's original private placement cost, allowing it to break even and exit, but the remaining stake still carries a paper loss of over 200 million Hong Kong dollars based on market prices. Yu Faxiang, the actual controller of Xiangyuan Holdings, was previously subjected to compulsory criminal measures, and the group is mired in a debt quagmire. This stake sale is a passive monetization driven by cash flow pressure, aimed at recouping funds to repay debts and stabilize market expectations.