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MiHoyo sues Minmetals in business trust dispute

Minmetals trust firm has been separately sued by Lilith Games
MiHoyo sues Minmetals in business trust dispute

Genshin Impact creator miHoYo is suing state-owned metal and mineral trading company China Minmetals Corp.

Minmetals International Trust (Mintrust) provides capital, real estate, securities trusts, and property.

The lawsuit was filed in Chengzhong District’s People’s Court in Xining, where Mintrust is headquartered. The suit was filed on June 22, with the initial hearing scheduled for July 25.

While the details weren’t released to the public, Mintrust has defaulted on at least 15 trust investments totalling around $1.8 million, according to a report in Guangzhou-based newspaper The Time Weekly.

Lilith Games has also sued Mintrust

Rise of Kingdoms developer Lilith Games has also sued Mintrust, citing another business trust dispute.

It’s possible that Mintrust defaulted on its commitments due to the recent deterioration in the Chinese property market. The writer of this article in the South China Morning Post, reporter Ann Cao writes: “The decision by miHoYo to invest in trust projects was an unexpected development, according to lawyers, because one of the most profitable video gaming firms was enticed to put money in a sector with shrinking returns and rising default risks.”

It’s unknown at the moment whether miHoYo is directly involved in any specific project which has defaulted on its debt. The company also declined to comment when approached by the South China Morning Post.

Despite this lawsuit, miHoYo recorded revenue of over $2.7 billion for the year 2021. Earlier this year, Genshin Impact surpassed $3 billion in lifetime revenue.