China Supply Chain Holdings Limited (Stock Code: 3708) has signed a Memorandum of Understanding on November 3, 2025, with Tetronis Limited for a next-generation data center initiative in Hong Kong. Under the agreement, China Supply Chain Holdings intends to establish a wholly owned subsidiary in Hong Kong responsible for funding, constructing, and operating the facility. Tetronis, in turn, plans to provide long-term rights to use its Kodon technology, subject to technical due diligence and the negotiation of definitive agreements.

According to the announcement, Kodon technology is designed to reduce file sizes to less than 1% of their original format, offering high logical storage capacity within a limited physical space. The collaboration anticipates combining the resources of both firms to develop this ultra-compact data center, aiming to enhance their position in Hong Kong’s data center industry. The terms and conditions for a formal agreement are still under negotiation, and further updates are expected to follow as required by exchange rules.