Power Assets Holdings Limited (Stock Code: 6), together with CK Asset Holdings Limited (Stock Code: 1113) and CK Infrastructure Holdings Limited (Stock Code: 1038), announced that upon completion on 30 November 2025, several service providers became indirect wholly-owned subsidiaries of CK William, thereby rendering certain transactions under existing Operating and Management (O&M) Service Agreements continuing connected transactions under Rule 14A.60 of the Listing Rules.

The service providers have been managing and operating gas distribution networks and pipelines in Australia for the AGN Group since 1997. These agreements cover day-to-day operations, engineering, construction, meter reading, and related activities in New South Wales, Victoria, Queensland, Northern Territory, and South Australia. Fees include a management fee tied to network revenue plus an incentive bonus contingent on performance targets. Historical service fees for the year ended 31 December 2024 totaled AUD22.6 million (approximately HK$115.2 million), and from 1 January 2025 to 30 November 2025, service fees reached AUD21.2 million (approximately HK$108.1 million).

Under the new arrangement, annual caps are set at AUD3.3 million (approximately HK$16.8 million) for the period from 1 December 2025 to 31 December 2025, AUD25 million (approximately HK$127.5 million) for the year ending 31 December 2026, and AUD13 million (approximately HK$66.3 million) for 1 January 2027 to 30 June 2027. These caps are based on projected revenue growth, anticipated incentive bonuses, and a buffer for potential increases. As the highest applicable percentage ratio is above 0.1% but below 5%, only reporting, announcement, and annual review requirements apply, with no need for independent shareholders’ approval.

According to Power Assets Holdings Limited, the O&M Service Agreements ensure operational continuity and smooth gas network management for the AGN Group, while CK William’s service providers continue to benefit from related service income. The arrangements are considered consistent with normal commercial terms and in the ordinary course of business, with the announced terms deemed fair and reasonable to all parties involved.