China International (SGX:BEH) has decided to withdraw a debt recovery lawsuit in China against Beijing Kaiyuan Wanjia Management Consulting, according to an after-market filing with the Singapore Exchange on Thursday.
The company's subsidiary, CIHL (Tianjin) City Development, had filed the suit against Beijing Kaiyuan to recover outstanding debts of around 47.3 million.
At a court hearing on May 9 at the Beijing Daxing District People's Court, the company was asked to bring additional evidence.
However, following legal counsel, the company has concluded the legal costs to be substantial and will consume a lot of time and energy.
Therefore, the engineering construction company has opted to withdraw the case and will instead, reassess its creditor rights against the contractor and could pursue claims through other legal means.