Cathay International Holdings Ld Statement relating to UK FCA enforcement action (0469D)

TIDMCTI

RNS Number : 0469D

Cathay International Holdings Ld

21 June 2019

Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR).

Cathay International Holdings Limited

("Cathay" or the "Company")

Statement relating to UK FCA enforcement action

Hong Kong, 21 June 2019: Reference is made to the Company's announcement on 31 May 2019 relating to the Decision Notices issued by the FCA to the Company, Cathay's CEO, Mr Jinyi Lee, and Cathay's Finance Director, Mr Eric Siu; and the consideration of whether to refer the FCA's decision to the Upper Tribunal.

After consultation with the legal counsels, the Company maintains its position as stated in the announcement on 31 May 2019, particularly, that the Company does not accept certain of the FCA's findings and rejects that the relevant breaches was committed recklessly. However, the referral to Tribunal is a lengthy process which will involve commitment of significant management resources, and will incur legal fees and related costs which would far outweigh the benefit of any positive outcome from the process and would not be in the best interests of the Company and its shareholders.

Accordingly, Cathay, Mr Lee and Mr Siu decide not to refer the FCA's decision to the Upper Tribunal.

The Company continues to focus management resources on its core businesses and, at the same time, on strengthening its management, including consolidating the Group's internal audit function and centralising the Group's company secretary function to increase effectiveness and efficiency.

-Ends-

For further enquiries, please contact:

 
 Cathay International Holdings Limited                   Tel: [phone] 
  Eric Siu (Finance Director) 
  Patrick Sung (Director and Controller) 
  Consilium Strategic Communications                     Tel: [phone] 
   Mary-Jane Elliott / Matthew Neal / Lindsey Neville 
 

About Cathay

Cathay International Holdings Limited (LSE: CTI.L) is a main market listed investment holding company and an operator and investor in the healthcare sector in the People's Republic of China (the "PRC"). The Company and its subsidiaries (collectively the "Group") aim to leverage on investment opportunities in the growing domestic demand for high quality healthcare products in the PRC and build portfolio companies into market sector leaders with competitive edge. Cathay has already demonstrated a track record of identifying investment opportunities in this area including: Lansen, a leading specialty pharmaceutical company focused on rheumatology and dermatology in the PRC; Haizi, a company engaged in the manufacture, marketing and sale of inositol and its by-product, di-calcium phosphate; Natural Dailyhealth, a company engaged in production and sales of plant extracts for use as key active ingredients in healthcare products; and Botai, a company engaged in collagen products.

The Group employs approximately 1,500 people across the PRC, including over 20 specialist corporate and business development staff based at the holding company's offices in Hong Kong and Shenzhen. Cathay also has a hotel investment. For more information please visit the Company's website: www.cathay-intl.com.hk.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

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June 21, 2019 05:58 ET (09:58 GMT)