Xing Sheng Founding (00896) plans to sell the entire share capital of Zhisheng Investment for HK$80 million

Zhitong Finance App News, Xing Sheng Chuang (00896) issued an announcement. On October 12, 2026, the seller Hanison Construction Holdings (BVI) Limited (a wholly-owned subsidiary of the company) signed a sales agreement with the buyer Clear Shine International Limited. According to this, the seller agreed to sell and the buyer agreed to buy and sell shares, which is the target Wisdom Mount Investments The entire issued share capital of Limited Zhisheng Investment Co., Ltd. The sale price was HK$80 million.

Sale of shares refers to the total issued share capital of the target, which wholly owns the Hong Kong subsidiary Vast Media International Limited Xinghan International Limited. The Hong Kong subsidiary holds a 49% interest in the Chinese company Haining Jiafeng Real Estate Co., Ltd., while the Chinese company owns the property. The remaining 51% of the Chinese company's interests are owned by Hongjing Co., Ltd., a company incorporated in Hong Kong and wholly owned by the buyer.

Property refers to units within the buildings and premises of Shangdong Business Center Phase I, developed and constructed on the west side of Wenyuan Road and the south side of Houfuting Port in Haining City, Zhejiang Province, China, including approximately 23,000 square meters of retail units, office units, clubhouse facilities, parking spaces and other ancillary properties, which have not been sold by a Chinese entity as of the date of this announcement.

The purpose of making a joint venture investment with a Chinese company in 2011 was to develop a project. The project is a large-scale office property development project, including construction of offices, retail, parking spaces and other development matters relating to land. The project was developed in stages and was successfully completed in the year ended March 31, 2015. The Group generated revenue by providing project management services throughout the project development process, and was able to fully utilize its expertise and resources to participate in the overall planning and development of large-scale office property projects in China. After the first phase of the project was completed in the year ended March 31, 2015, the Chinese company had sold 222 units as of March 31, 2026, and there were still a number of unsold units as of the date of this announcement.

In 2023, relevant Chinese government agencies discussed with Chinese companies to buy back the remaining unused land in the project along with other real estate projects held by the buyer's shareholders in nearby locations. Since then, the seller and the buyer have been discussing potential sales after the transfer of the remaining unused land in the project. In April 2026, the Chinese company and the buyer's shareholders have collected the purchase price from all relevant Chinese government authorities, and the seller and buyer have also begun finalizing the terms of the sales agreement. The company believes that the sale is an opportunity to unlock and monetize the value of its investment in Chinese companies, thereby implementing the return on the investment and allowing the company to circulate capital into other business and investment opportunities, thereby enhancing investor returns.