On 4 December 2025, Emperor Watch & Jewellery Limited (Stock Code: 887) entered into a new consignment agreement (the 2026-2028 Consignment Agreement) with the Yeung Family, effective from 1 January 2026 to 31 December 2028. Under this arrangement, the company may accept items from the Yeung Family at a specified consignment value and determine appropriate retail prices at or above that value, retaining any profit margin upon successful sale.

The 2026-2028 Consignment Annual Caps are each set at HK$50,000,000 for 2026, 2027, and 2028. This decision was made with reference to historical consignment data, the Group’s internal policy that caps overall consigned items at no more than 35% of its inventory, anticipated higher demand for consigned products, and stable inventory levels. From 1 January 2023 to 30 November 2025, consigned items from the Yeung Family totaled HK$30,465,000 in consignment value. The previous caps for 2023-2025 stood at HK$35,000,000 each year, none of which were exceeded.

Because the Yeung Family members are connected persons under Chapter 14A of the Listing Rules, this renewal is treated as a continuing connected transaction. As the applicable percentage ratios exceed 0.1% but remain below 5%, it is subject to announcement, reporting, and annual review requirements but does not require independent shareholders’ approval. The company has implemented internal control and review procedures to ensure the transaction amounts remain within the approved annual caps and comply with applicable rules throughout the agreement period.