The Shanghai Stock Exchange Tuesday issued a disciplinary penalty to Brilliance Auto Group Holdings, parent of BMW AG’s main Chinese joint-venture partner, condemning the company, its chairman and the executive in charge of information disclosure, reported Caixin.
Without disclosing the nature of the penalties, the exchange said the company violated the exchange’s bond listing rules, bond transfer rules and credit risk management guidelines. It also violated a public commitment made in its bond offering prospectus and harmed the interests of bondholders.
The penalty is related to Brilliance Auto’s stake transfer between subsidiaries. In June and September, Brilliance Auto transferred some equity in its core subsidiaries into two newly established units, but it failed to fully disclose part of the transfer, said Caixin.