PETRO-KING (02178): Subsidiary Baikin Technology Sells Existing Equipment to Supplier and Purchases New Equipment

Stock News
Jan 19

PETRO-KING (02178) announced that on January 19, 2026, its indirectly wholly-owned subsidiary, Baikin Technology, entered into a sales agreement with a supplier for the sale of 15 existing fracturing trucks and 2 existing instrument trucks (the "Existing Equipment") for a total consideration of RMB 85.5 million (approximately HK$95.042 million), inclusive of tax. On January 19, 2026, Baikin Technology entered into a purchase agreement with the supplier for the acquisition of 15 new fracturing trucks and 2 new instrument skids (the "New Equipment") for a total consideration of RMB 124 million (approximately HK$138 million), inclusive of tax. Furthermore, the contracting parties entered into an offset agreement on January 19, 2026, which stipulates that the total receivable from the supplier generated by Baikin Technology's sale of the Existing Equipment will be offset in equal amount against the total payable to the supplier generated by the acquisition of the New Equipment. Baikin Technology will pay the supplier the net amount of RMB 38.5 million (approximately HK$42.797 million) in installments. The announcement stated that these transactions will enable the Group to upgrade its production enhancement equipment fleet, improve its operational efficiency, better meet customer demands, enhance its competitiveness and service quality, and comply with upgraded industry standards and requirements.

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