According to the announcement from HK ENT INTL (08291), on April 28, 2025 (after trading hours), the company entered into a placement letter, under which it conditionally agreed to subscribe for a total of 9.38 million shares of Lihua (01327) at a subscription price of HKD 0.15 per share, subject to the terms and conditions set forth in the placement letter.

Before completion, the company is an existing shareholder of Lihua Group, holding approximately 0.9% of its existing issued shares. In light of the recent market price of Lihua shares, the group believes that this subscription represents a valuable opportunity to increase its holdings in Lihua Group at an attractive valuation. Furthermore, the board believes that the subscription can also provide the group with a valuable opportunity to enter the high-profit luxury goods sector, including strategic cooperation in high-quality packaging solutions that can create synergies between the company and Lihua Group