Xingyuan Environment Faces Lawsuits from Small and Mid-Sized Investors Involving RMB 264 Million

36Kr learned from an announcement by Xingyuan Environment that 417 small and mid-sized investors have filed lawsuits over alleged false statements in the company's financial data and related disclosures in its annual reports from 2016 to 2022, citing securities misrepresentation liability disputes, with the total amount involved reaching RMB 264 million. The cases are currently in the pre-litigation mediation stage. Two of the cases have been settled, with a total mediation amount of RMB 1.599 million, while the remaining cases are still in mediation. The company has set aside provisions of RMB 9.66 million and has initiated the claims process under its directors' and officers' liability insurance. The impact of the cases on the company's profits will be subject to audited figures.