Figtree Holdings Limited Provides Update on Legal Proceedings and Debt Transfer Agreement

Key Points from the Report

• Figtree Holdings Limited (“Figtree” or the “Company”) has provided a significant update regarding ongoing legal proceedings involving its 20%-owned associate, Vibrant Pucheng Logistics (Chongqing) Co., Ltd (“Vibrant Pucheng”).
• China Railway Construction Engineering Group Co., Ltd (“CRCE”) had previously commenced legal proceedings against Vibrant Pucheng related to outstanding progress payments for the construction of the Multi-Modal Logistics Distribution Centre in Chongqing, China.
• On 26 December 2025, New Vibrant (Jiangsu) Supply Chain Management Co., Ltd (“New Vibrant”), a wholly-owned subsidiary of Vibrant Group Limited (the holding company of Figtree’s controlling shareholder, Singapore Enterprises Pte Ltd), entered into a Second Debt Transfer Agreement with CRCE.
• Under this agreement, CRCE will sell and assign a further portion of the debt owed by Vibrant Pucheng, amounting to approximately RMB 23,365,327 (“Second Assigned Debt”), to New Vibrant for a consideration of RMB 18,000,000.
• The Second Assigned Debt includes accrued interest and penalties and is part of a total sum of RMB 59,385,282 plus additional accrued interest and penalties.
• The debt relates specifically to outstanding progress payments for the construction project in Chongqing.
• According to the Company, the transaction is not expected to have any material financial impact on the Group for the financial year ending 31 December 2025.
• Only the Company’s controlling shareholder, via its holding company, has a direct interest in this debt transfer; no other directors or controlling shareholders have direct or indirect interests.

Important Details for Shareholders and Potential Price Sensitivity

• Legal and Financial Developments: The Second Debt Transfer Agreement represents a further step in resolving the legal proceedings initiated by CRCE against Vibrant Pucheng. Shareholders should note that this debt assignment could potentially affect the financial obligations and risk profile of Vibrant Pucheng, though the Company states it is not expected to materially impact the Group’s financials for FY2025.
• Transaction Size and Terms: The assignment of approximately RMB 23.4 million in debt for a consideration of RMB 18 million may present an opportunity for the Group to settle liabilities at a discount, which could be favourable for future negotiations or settlements.
• Impact on Project and Future Operations: The debt relates to the construction of a major logistics centre in Chongqing, a key asset in the Group’s China portfolio. The resolution of these debts and legal proceedings can have longer-term implications on the Group’s China operations and reputation.
• Potential for Share Price Movement: While the Company has stated that the transaction is not expected to have a material financial impact for FY2025, investors should monitor developments closely, as further settlements, changes in debt obligations, or legal outcomes could become price-sensitive events in future periods.
• Controlling Shareholder Involvement: The direct involvement of the controlling shareholder via Vibrant Group Limited and its subsidiary may indicate strategic interest in resolving outstanding liabilities and stabilising the associate’s financial position.
• Transparency and Disclosure: The Company has provided links for further disclosure and has clarified the limited direct interest of other directors and controlling shareholders in this transaction.

About Figtree Holdings Limited

Figtree Holdings Limited, founded in 2009 and listed on SGX Catalist since November 2013, specialises in commercial and industrial real estate solutions. The Group operates as the main contractor for projects in Singapore and provides design, project, and construction management consulting services in China and Malaysia. With a strong presence in China’s property development sector, Figtree maintains a diverse portfolio and continues to explore property development and investment opportunities in Australia.

Conclusion

The Second Debt Transfer Agreement and related legal proceedings represent a significant development for Figtree Holdings Limited and its associate, Vibrant Pucheng. While the current transaction is not expected to materially impact the Group’s financials in the near term, shareholders should continue to monitor updates for any changes that could affect the Company’s financial health, reputation, and share price, particularly as the situation evolves.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are encouraged to conduct their own due diligence and consult professional advisors before making investment decisions. The information provided is based on the Company’s public disclosures as of the reporting date and may be subject to change.

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