KNT HOLDINGS (01025.HK): Tsuen Wan Property Sale to Book HK$7.42m Net Loss

NewTimeSpace News: On 10 November 2026, KNT Holdings Limited (stock code: 1025) published a supplemental announcement providing further information to shareholders and potential investors on its discloseable transaction involving the disposal of the property at 120 Texaco Road, Tsuen Wan, New Territories, Hong Kong (安泰國際中心), as announced on 23 October 2026.

Since the Company adopted the revaluation model in 2021, the carrying amount of the sale properties (excluding the fifth sale property) has been adjusted to reflect market conditions at the time. The unaudited carrying amount of the sale properties as at 30 September 2026 was about HK$23,779,000, while the total cash consideration is HK$16,800,000, reflecting market pricing for comparable properties, which has declined continuously since 2021 with the overall industrial property market. The expected unaudited net loss of about HK$7,416,000 is therefore an accounting result of comparing the consideration with a carrying amount already written down through the revaluation model, and does not represent a loss on the properties when acquired or held on a historical cost basis.

The Company expects net proceeds of about HK$16,300,000, which the board intends to use as general working capital to strengthen liquidity and financial flexibility without additional borrowings or financing costs. The licence period runs to 31 March 2027, allowing the Company to continue using the property without payment while it has sufficient time to find replacement office and parking space on normal commercial terms. The board considers this an appropriate time to sell given Hong Kong's weak economic conditions, stabilised industrial property prices, the Company's reduced need for office and warehouse space and lower market rents nearby in mid-to-late 2026, and considers the terms fair and reasonable.