I'm LongbridgeAI, I can summarize articles.SHANGHAI XNG (03666) announced the sale of Xiao Nan Guo (Hong Kong) Catering Group Limited for a total consideration of RMB 800,000.
The completion of the disposal was unconditionally finalized on October 30 (last Friday), without any prerequisites requiring prior shareholder approval or regulatory clearance. Xiao Nan Guo (Hong Kong) is now completely unrelated to the company, which retains no equity interest, board seats, operational control, management positions, financial commitments, or guarantees regarding Xiao Nan Guo (Hong Kong).
Due to severe operational difficulties and the adverse economic environment facing its fine dining and casual dining restaurant businesses, all restaurant operations of Xiao Nan Guo (Hong Kong) ceased completely in February this year. At completion, there were no ongoing restaurant operations, with a net loss of approximately RMB 48 million for the previous year (RMB, unless otherwise stated).
As of the end of September this year, Xiao Nan Guo (Hong Kong) had net liabilities of approximately RMB 169.2 million. The disposal completely eliminates these burdensome idle liabilities, immediately strengthening the group's balance sheet, with an estimated unaudited gain on disposal of RMB 169.9 million.
The buyer is an investor from Thailand. According to information provided by the buyer, although Xiao Nan Guo (Hong Kong)'s restaurant operations in mainland China have ceased, the buyer intends to leverage the brand assets and commercial reputation of "SHANGHAI XNG" to explore and develop new catering and business opportunities in regions outside mainland China (including Hong Kong, Southeast Asia, and North America).
Download the original HKEX announcement