HK Stock Market Move | CHERVON (02285) falls over 9% after being sued in the US by TECHTRONIC IND for poaching and misappropriation of trade secrets.

CHERVON (02285) opened slightly lower today and continued to weaken, with losses widening in the afternoon. As of press time, it fell 9.48% to HK$33.04, with turnover of HK$68.05 million. On the news front, three North American companies under TECHTRONIC IND TTI North America, Milwaukee Electric Tool, and sales company R&B filed a lawsuit in the U.S. District Court for the Northern District of Illinois against Chervon North America, CHERVON, and former TTI CEO Joseph Galli, case number 1:26-cv-13942. The complaint sets out eight claims, including misappropriation of trade secrets, interference with contract, and unfair competition. TTI alleges that within 54 days of Galli's appointment on September 10, Chervon had poached at least 18 executives and key personnel and obtained Milwaukee confidential information. Public records show that Galli joined TECHTRONIC IND in 2006 as Chief Executive of Techtronic Industries, and served as Chief Executive and Executive Director of TECHTRONIC IND from February 2008 to May 2024, responsible for leading the management team in daily operations and integrating acquisitions.