SHANGHAI XNG (03666) experienced a sharp decline at the opening of trading this morning, with shares falling over 16% at one point, following a drop of more than 28% in the previous session. As of the time of writing, the stock was down 4%, trading at HK$0.024, with a turnover of HK$656,500.

The movement follows a company announcement made on the evening of February 10. The board noted a news report published by a local media outlet on February 10, 2026, which stated that all restaurants operated by the company under the "SHANGHAI XNG" brand in Shanghai had been closed.

The board has clarified that the operations of ten restaurants under the brand have been temporarily suspended as part of the group's strategic restructuring. Furthermore, the board stated that claims in the report regarding "non-refundable deposits and prepaid cards" are incorrect. The company is currently processing refunds for customer deposits, while funds for prepaid cards are held in designated guarantee accounts and are available for refund. The board reaffirmed its commitment to ensuring all deposits and prepaid card balances are properly refunded to customers.