YIK WO INTL (08659) announced that on December 31, 2025, the company intends to sell a 100% equity stake in Yizhen Film and Media Co., Ltd. to Xiamen Rongdeng Shengshi International Trade Co., Ltd. for a consideration of RMB 15 million.
The target company holds a 10% interest in a film project tentatively titled "English," which is a commercial literary film. The company acquired all the issued share capital of the target company in 2022, representing 10% of the investment amount, and is entitled to a 10% share of the film's proceeds. At the relevant time, filming for the movie had been completed and it was undergoing post-production. It was anticipated that the film would obtain approval for release from the Chinese government and finalize post-production shortly thereafter. However, as of the date of this announcement, the film still lacks a specific release schedule, and the company's investment in the project continues to face significant uncertainty and risk. In light of the above circumstances and the existence of a willing buyer, the directors believe that the sale of the shares, with the proceeds to be used as working capital for the Group, is in the company's best interests.
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