Recently, there have been disputes between the Lianya Group (00458) and ABG and related licensors over the distribution and/or clearance rights of Nautica, Spyder, and Reebok brand products.

Wisdom Financial APP News, Li & Fung Group (00458) announced that the group is mainly engaged in clothing and brand businesses (including in-house brand business and franchised brand business). Regarding its franchised brand business, the group has entered into franchising agreements with the franchisors of Nautica and Spyder brands (according to information obtained by the group, they are affiliated with Authentic Brands Group (ABG)), distributing Nautica and Spyder brand products in mainland China and Hong Kong. The group has also entered into a franchising agreement with the franchisor of the Reebok brand (according to information obtained by the group, they are also affiliated with ABG), distributing Reebok brand products in mainland China, Hong Kong, Macau, and Taiwan. As disclosed in the announcement dated December 29, 2025, the franchising rights for Reebok have been terminated prematurely as of December 31, 2025.