China Frontier Technology Group (01661) plans to sell media content production and distribution business for HK$8 million

According to the Zhitong Finance App, China Frontier Technology Group (01661) announced that on December 24, 2025, the company plans to sell the entire issued share capital of Torch Media Co., Ltd. to Crestwell International Limited at a cost of HK$8 million. Furthermore, in accordance with the sale agreement, certain advance payments currently held by the target group will be transferred to the company's subsidiary S&M. The target company is mainly engaged in media content production and distribution.

The announcement stated that the sale was part of the Group's ongoing business optimization efforts. After regularly reviewing the Group's business portfolio, the Board of Directors believes that given the target company's net loss situation for two consecutive years and the continuous financial resources required to maintain its operations, the prospects for further strategic development of its business within the Group are limited. Therefore, the sale enables the Group to optimize asset allocation and focus on areas and businesses with greater potential for growth. The sale also enhanced the Group's overall financial flexibility by divesting its loss-making business and enabling the Group to reallocate internal resources to support the development of the competition hosting and functional materials trading sector.