LEMO SERVICES (02539) experienced a severe sell-off during the morning session, plummeting nearly 50% to a new all-time low of HK$18 since its listing, which dragged its total market capitalization down to approximately HK$1 billion. As of the time of writing, the stock was down 40.34%, trading at HK$20.88, with a turnover of HK$13.2059 million.

Data from the Hong Kong Stock Exchange revealed that on January 26, a shareholder of LEMO SERVICES transferred shares worth HK$55.2066 million from Beta International Securities to Futu Securities International (Hong Kong), representing a 5.39% stake.

According to its prospectus, LEMO SERVICES provides massage services through its network of mechanical massage equipment located in high-traffic public areas across China.

Data from Frost & Sullivan indicates that, measured by transaction value, LEMO SERVICES ranked first in the Chinese mechanical massage service market for three consecutive years from 2022 to 2024.

Furthermore, based on revenue, LEMO SERVICES held the top market share domestically in 2024, exceeding 50% and significantly outpacing all other competitors in the market.