HINSANG GROUP (06893) saw its shares jump by as much as 63% this morning following the resumption of trading. At the time of writing, the stock was up 39.80%, trading at HK$0.137, with a turnover of HK$2.7968 million.

The company announced that it has taken note of several media reports indicating that a property in Sha Tin, Hong Kong, along with a parking space, and another property in Tsim Sha Tsui, Hong Kong, held by the group, are being offered for sale through a property agent at indicative prices of HK$138 million and HK$45 million, respectively. The company confirmed that it is actively exploring the sale of the relevant properties through a property agent, and the process is currently only at the indicative pricing stage.

The board of directors believes that the relevant properties are not essential assets for the group's core business operations, and any potential sale would not have a significant impact on the group's business activities.

The board also considers that a potential sale would provide the group with opportunities, including realizing cash and unlocking cash value to support further development, as well as saving on all financing costs related to the group's outstanding bank borrowings. This is because part of the net proceeds from any potential sale are intended to be used to repay all of the group's outstanding bank borrowings.