Century Sunshine Group Holdings Limited (Stock Code: 509) has announced that the first auction of the trademarks owned by its Shandong-based subsidiaries was unsuccessful on 31 October 2025. A second auction is set to take place on 30 November 2025.

The Group’s audited financial statements for the year ended 31 December 2023 indicate a book value of approximately HKD186 million for these trademarks. The valuation price for the auctions was RMB42,925,000, with a reserve price of RMB34,340,160 for the upcoming auction. If the second auction is successful at the reserve price, the estimated loss on disposal would be nearly HKD149 million, though the final outcome will depend on the actual transaction price.

Proceeds from any successful sale, after deducting relevant expenses, will be used to settle debts. The trademarks are currently licensed to two subsidiaries for fertiliser production and sales. Should the ownership transfer, the existing licence agreements will remain valid, but the purchaser will also hold the right to use these trademarks, potentially increasing market supply and competition.

The matter has no significant impact on other operations. The company will issue further updates as appropriate. Meanwhile, trading of the company’s shares remains suspended since 1 April 2025, pending satisfaction of the relevant resumption conditions.