HK Stock Market Move | SMART DIGI TECH (01159) fell more than 34%; the Stock Exchange indicated it does not meet listing requirements and may be suspended from November 3.

SMART DIGI TECH (01159) fell more than 34%, down 34.48% as of press time, at HK$1.14, with turnover of approximately HK$748,400. On the news front, SMART DIGI TECH announced that it received a letter from the Stock Exchange on October 22, stating that the company has failed to maintain sufficient business operations and assets of substantial value to support its operations, and does not comply with Rule 13.24 of the Listing Rules. The Stock Exchange decided to suspend trading in the company's shares under Rule 6.01(3) of the Listing Rules. Unless the company applies for a review, trading in the shares will be suspended from November 3. The Stock Exchange noted that the company's media and culture business has been significantly scaled down, with no new films released since 2023. Revenue from its film portfolio dropped from HK$80.3 million for the 2023 financial year to HK$21.9 million for the 2025 financial year, and the company has been loss-making for the past five years. Although the company has expanded into short dramas, AI concert television programs, and satellite businesses, it has failed to demonstrate viable and sustainable operating capability, and its other new businesses have yet to generate revenue.