STAR GROUP ASIA (01560) plans to sell Hong Kong property for approximately HKD 48.36 million.

STAR GROUP ASIA (01560) announced that on November 4, 2025, the seller, Eternal Prosper Development (an indirect wholly-owned subsidiary of the Company), entered into an agreement with the buyer, Mighty Vigour, agreeing to sell and purchase the property for a price of HK$48.367 million. According to the terms of the agreement, the buyer agrees to lease the property to a designated tenant (either the Company or its wholly-owned subsidiary) after completion, at a monthly rent of HK$185,000 (excluding land tax, rates, and management and air-conditioning expenses, all of which will be borne by the designated tenant). The initial lease term is two years from the completion date, with an option for the designated tenant to renew for a further two years. The property to be sold by the seller includes the office and ancillary area on the 20th floor of Silver Fortune Plaza, 1 Wellington Street, Hong Kong, with a total floor area of approximately 4,397 square feet. The premises are currently used and operated by an indirect subsidiary of the Group as a co-working space. The Board has been evaluating the business environment in Hong Kong, the development of the commercial property market, and the financial position of the Company. The Directors believe that the sale of the property will allow the Company to realize its investment in the property, address the downward trend and uncertainties in the Hong Kong commercial property market, improve the Group's debt level, working capital, financing costs, and overall financial position, benefiting the Group. The sale and leaseback arrangement will allow the Group to continue operating its co-working space business at the property without the need to incur the time and cost of relocating to alternative office premises and restoring the property to vacated condition at the end of the lease term.