TATA HEALTH (01255) plans to sell all shares of Kong Tai Sundry Goods (BVI) Company Limited for HKD $1.

TATA HEALTH (01255) announced that on March 13, 2026, the seller S.Culture Holdings (BVI) Limited (a direct wholly owned subsidiary) entered into a sale agreement with the buyer WealthySteps Company Limited. According to this agreement, the seller conditionally agreed to sell, and the buyer conditionally agreed to acquire, the sale shares (one share of the target company with a face value of 1.00 US dollar per share issued, representing the entire issued share capital of the target company as of the date of this announcement), at a price of 1.00 Hong Kong dollar. On the same day as the sale agreement, Kong Tai Sundry Goods (BVI) Company Limited (the target company) ceased to be a subsidiary of the company, and the financial performance of the target group is no longer consolidated into the group's comprehensive financial statements. The target group is in a state of loss, high debt, and net liabilities. Given that the target group is no longer generating revenue, has no clear plans for its future business prospects, and has been relying on support from other operating subsidiaries of the group to pay for its operating expenses and debts, the board of directors believes that future capital injections or continued financial support are not reasonable. The board believes that the sale will relieve the group of the financial burden on the target group. Considering the target group's years of consecutive losses and net liabilities, the board believes that the sale will release the group's working capital in the target group, allowing the group's existing footwear business and its retail business to further allocate resources more effectively for growth.