Forgame Holdings Limited
Climate Impact & Sustainability Data (2019)
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Environmental
- Social
- Governance
Social Achievements
- Intensive customized trainings to enhance staff's technical and product knowledge.
Governance Achievements
- Established Board committees (Remuneration, Audit and Compliance, Nomination) with defined terms of reference.
- Adopted the Model Code for Securities Transactions.
- Implemented compliance procedures to ensure adherence to applicable laws, rules and regulations.
Climate Goals & Targets
Environmental Challenges
- Trade disputes between China and the US and increased regulatory requirements for the domestic internet finance industry.
- COVID-19 pandemic severely affected offline VR game business and internet micro-credit business.
- Recoverability problem associated with overdue loans in internet micro-credit business.
- Deteriorating operational performance of Beijing Xigua (VR game business).
Mitigation Strategies
- Strategic restructuring by implementing game business upgrade strategy and diversifying the product portfolio of its internet micro-credit business.
- Plan to retain not more than 10 best performing direct sales stores under the offline VR game business.
- More prudent measures and strengthened internal risk management in internet micro-credit business.
- Providing Beijing Xigua with financial assistance and closing down underperforming stores.
- Engaging legal advice to collect receivables from the disposal of Jianlicai Group.