Nanhua Group Holdings (00413): The court has ordered the liquidation of Huasheng Toys

Zhitong Finance App News, Nanhua Group Holdings (00413) issued an announcement. According to the Companies (Liquidation and Miscellaneous Provisions) Ordinance, Chapter 32 of the Laws of Hong Kong, Huasheng Toys was ordered liquidated by the High Court on September 16, 2026.

The Board believes that the Group can continue to operate other major businesses and has sufficient resources, operating levels and assets of sufficient value, and that the liquidation of Huasheng Toys will not have a significant impact on the Group's overall business prospects, as (a) plans to transition to a trade-oriented model through another subsidiary; (b) Huasheng Toys Group's continuing operating losses will no longer be included in the Group's consolidated financial results; (c) the Group's other businesses are relatively diversified; and (d) on June 30, 2026, the Group had a strong asset base of over HK$10.941 billion. Therefore, the liquidation of Huasheng Toys is not significant for the Group as a whole and will not affect the operations or financial status of the Group's other major subsidiaries.

Furthermore, Huasheng Toys' business has been in a state of loss. The termination of its operations will eliminate the drag on the Group's overall performance and is expected to bring about cost savings, which will have a positive impact on the Group's financial situation. The Board believes that these measures will enhance the Group's resilience and enhance its ability to focus resources on profitable and sustainable business segments.