Build King Holdings Limited (Stock Code: 00240) has announced a new framework agreement (the 2026 Framework Agreement) with its majority shareholder Wai Kee Holdings Limited. Under this agreement, Build King and its subsidiaries may purchase ready mixed concrete from Wai Kee from 1 January 2026 to 31 December 2028, subject to approval at a special general meeting (SGM) scheduled on 19 December 2025.

The existing arrangement for concrete supply is set to expire at the end of 2025. To ensure a stable supply for Build King’s civil and building projects, the newly proposed annual caps are HK$310 million, HK$430 million, and HK$450 million for the three respective years. The calculations behind these caps factor in both ongoing projects under Build King and projections for additional construction contracts in Hong Kong.

Because Wai Kee is a controlling shareholder with approximately 58.33% of Build King’s issued share capital, the proposed supply arrangement constitutes a continuing connected transaction. As one or more of the applicable percentage ratios exceed 5%, the new agreement requires independent shareholders’ approval. Should approval be granted, the company will continue to invite competitive tenders from at least three potential suppliers, including Wai Kee, when procuring concrete for future construction projects.

The board of Build King recommends independent shareholders to vote in favor of the proposed agreement and annual caps at the SGM on 19 December 2025. The agreement’s final terms and the transaction amounts will be reviewed annually by independent directors and auditors to ensure compliance with relevant listing rules and the approved caps.