Wingtech Technology said a dispute with Luxshare Precision over the transfer of its India business asset package has entered international arbitration, while the rest of its major asset divestment has been completed without litigation.
In a filing dated February 10, 2026, Wingtech said its subsidiary Wingtech Mobile Communications (India) Private Limited has submitted a defense and counterclaim to the Singapore International Arbitration Centre (SIAC) on February 6. The arbitration was initiated by Luxshare's subsidiary, Luxshare Liantao, over disagreements related to the performance of the India asset transfer agreement. The two sides are currently discussing the formation of the arbitral tribunal.
The dispute stems from Wingtech's broader plan, launched in 2025, to divest its OEM and ODM businesses and refocus on semiconductors. Under the transaction, Wingtech agreed to sell multiple subsidiaries and business assets—including entities in Kunming, Huangshi, Shenzhen, Hong Kong, Indonesia, Wuxi, and India—to Luxshare Precision and Luxshare Communication (Shanghai) in a cash deal valued at nearly CNY4.4 billion (approx. US$640 million). The transaction received board and shareholder approval in multiple stages throughout 2025.
Wingtech said the current arbitration is limited to the India business asset package. According to earlier disclosures, Luxshare Liantao has not paid the remaining consideration of about CNY160 million (approx. US$23.11 million) for the India assets and has sought to terminate the India asset agreement. Luxshare has argued that certain assets in India were subject to delivery restrictions, including seizures or freezes, which prevented the completion of ownership transfer procedures and rendered the contract's purpose unattainable.
Luxshare has requested that the arbitration tribunal rule on termination of the agreement, exempt it from any further performance obligations, and order the return of approximately INR1.977 billion (US$22 million) already paid, along with interest and arbitration costs. Wingtech, for its part, has said it is actively pursuing legal remedies to protect its interests.
The company cautioned that the case involves complex cross-border legal and regulatory issues, and the duration and outcome of the arbitration remain uncertain. As a result, Wingtech said it is currently unable to estimate the potential financial impact accurately.
Wingtech emphasized that aside from the India-related assets under arbitration, all other assets included in the transaction have completed ownership transfer registrations and are not subject to litigation or arbitration.
Article edited by Jack Wu
