HATCHER GROUP (08365) announced that on August 18, 2025, the company entered into a partnership agreement with EF HongKong and EF Commodities, whereby (i) EF Commodities grants the company exclusive and non-transferable rights to introduce clients in Hong Kong for the trading of digitized gold-backed instruments; and (ii) EF HongKong commits to procuring its affiliates (which possess regulatory and technological infrastructure for establishing and trading security tokens) to appoint the company as their partner for promoting, marketing, and assisting in the sale and promotion of security tokens to clients in Hong Kong. The partnership agreement has an initial term of one year and may be renewed upon mutual agreement between the contracting parties.
To diversify its business operations and revenue sources, the company has been actively seeking development opportunities in emerging financial sectors. The board of directors believes that the partnership with Esperanza represents a strategic initiative to leverage the group's expertise in financial services and expand its business into Hong Kong's growing digital asset market. Through this exclusive collaboration, the group gains the right to distribute regulated digitized gold-backed instruments and security tokens, establishing its position as a pioneer in institutional-grade digital asset distribution.
Given the significant attention security tokens have garnered among global institutional investors, this partnership is well-timed. This strategic move not only diversifies the group's service offerings but also provides first-mover advantages in the rapidly developing tokenized asset market within Asia's leading financial center.
On the same day, the company entered into a memorandum of understanding with EF HongKong regarding a potential equity investment in Esperanza. Under the memorandum of understanding, the company intends to explore an investment opportunity to further strengthen the strategic partnership between the contracting parties and enable the group to participate in Esperanza's growing digital asset platform.
The proposed investment aligns with the group's strategy to establish a deeper foothold in Hong Kong's rapidly developing digital asset ecosystem. Through the potential acquisition of equity in Esperanza, the group will gain preferential access to innovative tokenization technology and exclusive product portfolios, while increasing cross-selling opportunities between the group's existing client base and Esperanza's digital asset products. The investment will also enable the group to participate in the returns generated by Esperanza platform's growth in Asian markets.
The board believes this opportunity can accelerate the group's digital transformation while creating additional high-margin revenue sources through platform synergies. The memorandum of understanding is non-binding, preserving flexibility to negotiate terms that serve the interests of the company and its shareholders.
EF HongKong specializes in providing security token issuance solutions, utilizing its affiliates' potential regulatory licensing infrastructure to tokenize investment opportunities (including live entertainment assets) under Hong Kong's securities regulatory framework. EF Commodities issues digitized gold-backed instruments, where holders can redeem from EF Commodities one kilogram of 999.9 physical gold bars belonging to EF Commodities and stored in Hong Kong vaults managed by Brink's (Hong Kong) Limited with 100,000 digitized certificates, and facilitates trading through its platform.
Both entities operate within Esperanza's proprietary "Espetopia" platform, which combines institutional-grade compliance with blockchain technology. Esperanza is supported by a team and advisors with extensive expertise in financial regulation, including government advisors and professionals holding SFC digital asset management licenses. Their track record includes establishing Hong Kong's first regulator-approved tokenized real estate fund, demonstrating their ability to combine traditional finance with innovative tokenization models while adhering to strict regulatory standards.