Kitchen appliance maker Vatti saw its stock drop twice near to the 10 percent limit during Monday's morning trade session on the Shenzhen Stock Exchange, following news that a court in South China's Guangdong Province had ordered the seizure of Vatti's Beijing-Tianjin subsidiary on Friday. 

Vatti Corporation displays its high-end kitchen appliances at an exhibition in Nanjing, East China's Jiangsu province, June 18, 2016. (File photo: VCG)

Vatti's stock price eventually recovered, falling 6.6 percent as of 12pm on Monday.

According to a report by the Beijing Morning Post on Monday, the general manager of Vatti Beijing-Tianjin  went missing more than 10 days ago, after news arose that the subsidiary had amassed debts equating to over 100 million yuan ($15 million). The Beijing-Tianjin subsidiary is the second-largest sales company under Vatti.

Vatti is a sponsor of France's national soccer team competing in the 2018 FIFA World Cup. The company made the news in June after announcing that all customers would get a full refund on their purchases of a specific set of "champion products" if the French team wins the World Cup.