Issue of CB worth HK $30,240,000 to one or more allotees, convertible into up to 14,000,000 shares, representing about 2.95% of the total number of shares outstanding, at an exchange price of HK $2.16 and net proceeds of about HK $29.45 million. Placing agent: VC Brokerage Limited
The Group is principally engaged in (i) manufacture and distribution of leather products ("Leather manufacturing business"); (ii) retail of fashion apparel, footwear and leather accessories ("Leather retail business"); (iii) planting of industrial hemp and production of hemp fabric products ("Industrial hemp planting business"); (iv) provision of automobile services and sales of related products.
As at 30 June 2026, the shareholder, Mr. Zhao, has granted certain unsecured and interest-free loans to the Group with a total principal amount of RMB4,500,000 (the "RMB Loans") and US$480,000 (the "US$ Loans") (equivalent to approximately HK$8,941,000 in aggregate, collectively referred to as the "Shareholder's Loans") (31 December 2025: RMB7,010,000, HK$1,226,000 and US$1,480,000 respectively (equivalent to approximately HK$20,582,000 in aggregate)).
These conditions indicate the existence of a material uncertainty which may cast significant doubt on the Group's ability to continue as a going concern. Notwithstanding the above, the interim financial statements have been prepared on a going concern basis, as the Directors are satisfied that the Group will have sufficient working capital...; The Company has taken various measures to improve its liquidity position.
