On 11 September 2026, Crocodile Garments Limited (Crocodile Garments) disclosed that its indirect wholly owned subsidiary, Public Global Investments Limited, has signed a provisional sale and purchase agreement to divest eight workshops and an associated storeroom on the 20th floor of Lemmi Centre, 50 Hoi Yuen Road, Kwun Tong, Kowloon. The buyer is Infinity Bright Capital Limited, an independent third party.

The asset, comprising a total gross floor area of approximately 6,331 sq ft, generated net rental income of HK$1.05 million for the year ended 31 December 2025 and HK$1.34 million for the seventeen months ended 31 December 2024. The property will be transferred on an “as-is” basis with existing tenancies.

The agreed consideration stands at HK$22.80 million, to be settled in three tranches: an initial deposit of HK$1.10 million already paid at signing, a further deposit of HK$1.18 million due by 25 September 2026, and a balance of HK$20.52 million payable on or before completion, scheduled no later than 30 November 2026.

Based on a carrying value of HK$33.00 million recorded as at 30 June 2026, the group anticipates an accounting loss of about HK$10.59 million. Net proceeds, after transaction expenses, are estimated at HK$22.41 million and will be allocated to general working capital.

Management cited subdued sentiment in Hong Kong’s industrial property market and the desire to improve liquidity as primary drivers for the sale. Packaging the workshops and storeroom in a single transaction was deemed a faster and more cost-effective exit than piecemeal disposals, despite the pricing discount.

Under Hong Kong Listing Rules, the deal’s size triggers a discloseable transaction classification, requiring public announcement but not shareholder approval. Crocodile Garments’ core businesses encompass garment retailing across Hong Kong, Macau and Mainland China, property investment and letting, and treasury management.