ValueMax Group Limited (“the Company”), together with its subsidiaries, has issued an official update addressing the ongoing legal dispute with Louis Vuitton Malletier (LV). This development follows recent media coverage in the Business Times concerning a lawsuit initiated by LV against ValueMax Retail Pte Ltd (VMR), a wholly owned subsidiary of the Group.

Key Points from the Report

• LV Legal Action: LV has commenced legal proceedings in the Singapore High Court, alleging that VMR infringed and/or passed off on LV’s trademarks.
• Alleged Trademark Infringement: The case centers on claims that VMR sold at least one gold charm and exposed/offered for sale at least one pair of gold earrings at one of the Group’s stores. LV asserts these items violate its trademark rights.
• Source of Items: ValueMax clarifies that the gold charm and earrings in question were unredeemed pawned items, acquired through separate sources during regular business operations.
• Legal Response: VMR is committed to vigorously and robustly defending against LV’s claims, undertaking all necessary actions to protect its reputation.
• Resolution Efforts: The Group expressed regret that a meaningful and amicable resolution with LV has not been reached.
• Board’s Assessment: The Board believes, based on the facts, that the litigation will not have any material impact on the Group’s business operations or its financial statements for the year ending 31 December 2025.
• Ongoing Updates: The Group pledges to provide further updates should any material developments arise.

Important Information for Shareholders

• Potential Share Price Sensitivity: Legal disputes involving intellectual property and major international brands like LV can be price-sensitive. However, ValueMax’s Board has explicitly stated that the current litigation is not expected to have a material impact on operations or financial performance for the period ending 31 December 2025.
• Reputational Considerations: The Group is taking steps to defend its reputation, which is critical in the retail and financial services sectors. Any adverse judgment or settlement could, in theory, affect investor confidence, although the Board’s statement seeks to reassure shareholders.
• Unredeemed Pawned Items: The nature of the alleged infringement relates to the sale of unredeemed pawned items, not direct procurement or deliberate sale of counterfeit goods, which may mitigate legal exposure.
• No Immediate Financial Impact: The Board does not anticipate any material effect on the company’s financial statements for the current fiscal year, which should reassure investors concerned about near-term profitability.
• Potential for Future Developments: The Group will continue to monitor the situation and provide updates if the case evolves materially, which could have future implications for shareholders.

Conclusion

For now, while the legal proceedings are ongoing and involve a globally recognized brand, ValueMax’s Board maintains that the dispute should not materially affect the company’s business or financial results for 2025. Investors should continue to monitor further announcements, as intellectual property litigation can, in some circumstances, affect share prices if the situation deteriorates or if unexpected developments arise.

Disclaimer: This article is provided for informational purposes only and does not constitute legal, financial, or investment advice. Investors are encouraged to conduct their own research and consult with professional advisors before making investment decisions. The views expressed herein are based on company disclosures and may be subject to change as new information becomes available.

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