Pak Tak International (HKG:2668) said Shenzhen Yunfeng Investment has unconditionally released the company from its corporate guarantees related to 279 million yuan of loans, according to a Wednesday Hong Kong bourse filing.
The loan enforcement rights were transferred from Hua Xia Bank's Shenzhen branch to China Cinda Asset Management's Shenzhen branch and subsequently to Shenzhen Yunfeng, with a Shenzhen court ruling that the assignment was lawful.
Shenzhen Yunfeng has also agreed to seek withdrawal of compulsory execution proceedings against Pak Tak, the company said.
Shares of the firm were up nearly 13% in Thursday morning trade.