The stocks of Inter owner Suning’s retail company suning.com have been suspended after a market collapse following the freezing of 5.8% of the company’s shares by a Chinese court.
This according to Chinese news organization Titan Sports Plus, who report on Twitter that the decision to freeze more than a quarter of shares owned by founder Zhang Jindong has prompted the company’s stock to fall rapidly in the Chinese stock exchange.
The decision to freeze Jindong’s shares followed a liquidity crisis at the company brought on by their inability to repay debts.
It is unclear what this means for Inter, with substantial assets frozen for Suning’s owner and the subsequent decline in the company’s market value potentially compromising the long-term health of the company and its ability to control Inter.
However, it is not thought that this development will immediately affect the Nerazzurri, as the budget for the summer is already guaranteed by loans, and the club will stick to financial targets already outlined.
The trading of https://t.co/OXDJ8AOEZn (https://t.co/coAJ0ccyiq), Suning Group’s listed entity in Shenzhen Stock Exchange, halted today. The stock price slumped on Tuesday after it was revealed that 5.8% of its shares held by Zhang Jindong was imposed an asset freezing order. pic.twitter.com/mNWQxID4fq
— Titan Sports Plus (@titan_plus) June 16, 2021