WKK INTL (HOLD) (00532) announced that on December 31, 2025, the sole shareholder of its indirectly wholly-owned subsidiary, Dongguan Nissin Plastic Products Co., Ltd. (DNP), resolved to establish a liquidation committee to initiate the liquidation and deregistration procedures for the voluntary dissolution of DNP in accordance with applicable Chinese laws and regulations. DNP is a wholly foreign-owned enterprise established in China under Chinese law in 1994. The company is primarily engaged in the production of plastic products, which are mainly exported to overseas markets. Given DNP's persistent losses, the Board of Directors considers the voluntary liquidation to be an appropriate course of action to reduce losses and to reallocate and optimize resources and management focus towards the Group's other existing businesses and the exploration of other potential business opportunities. The Group expects to incur one-off restructuring costs from the voluntary liquidation, primarily consisting of severance payments, costs related to the cessation of production, and inventory write-offs. Upon completion of the voluntary liquidation and related procedures, DNP will cease to be a subsidiary of the Company, and DNP's financial performance and position will no longer be consolidated into the Group. The Board believes that, aside from the one-off restructuring costs and any other losses/expenses resulting from the voluntary liquidation (which are yet to be quantified), the liquidation will not have any material adverse impact on the Group's overall operations.