ALPHA PRO HLDGS (00948) has announced that, following careful consideration, its indirect wholly-owned subsidiary, ALPHA Overseas Limited, acting as the sole shareholder of another indirect wholly-owned subsidiary, Hong Kong Vellex Trading Limited, has resolved that Vellex Trading should undergo a creditors' voluntary winding-up pursuant to Section 241 of the Hong Kong Companies (Winding Up and Miscellaneous Provisions) Ordinance. Consequently, on April 24, 2026, ALPHA Overseas formally passed a special resolution for Vellex Trading to be wound up via a creditors' voluntary liquidation. The Group is primarily engaged in (i) the trading of infant formula and food products (dairy products business); and (ii) the provision of warehousing and logistics services and cleaning services (services business). According to the Company's interim report for the six months ended September 30, 2025, the operations of Vellex Trading were scaled down following the termination of its business relationship with Bubs Australia Limited, and the company is currently inactive. Furthermore, the report also disclosed that the Vellex Trading group is involved in several litigations and potential claims related to its debts. Based on the unaudited management accounts of the Vellex Trading group as of February 28, 2026, Vellex Trading is insolvent. After considering its insolvency, the cessation of its operations, and its limited business prospects, the Board believes that the creditors' voluntary liquidation of Vellex Trading is in the overall best interests of the Company and its shareholders. This will allow the Group to reduce losses following the liquidation and reallocate its resources towards developing new market areas for adult formula dairy products under its dairy products business, as well as managing and expanding its services business.