STERLING GP (01825) has notified the lender of the default and the lender currently has no plans to immediately repay the outstanding amount under loan financing

According to Zhitong Finance App, STERLING GP (01825) issued an announcement. According to bank financing (loan financing) with a Hong Kong licensed loan bank (lender), the Group is required to fulfill certain financial contracts, including but not limited to maintaining a minimum tangible net value; and maintaining a minimum current ratio. According to the Company's audited annual results for the year ended March 31, 2026, the Group was unable to reach such financial agreements (default) under loan financing. Default constitutes a default event under loan financing. In this case, the lender has the right to declare that the loan under loan financing is due immediately and subject to repayment with accrued interest. As of the date of this announcement, approximately HK$67.9 million had been used to finance loans.

The Group has notified the lender of the default. According to discussions between the Group and the lender, the lender currently has no plans to immediately repay the outstanding amount under loan financing. The Group will conduct further negotiations with the lender to obtain an exemption from the lender for default; however, it may take time for the lender to carry out internal procedures before granting any exemption for default.