On 9 July 2026, Creative China (SEHK: 08368) signed a Sale and Purchase Agreement to acquire the entire issued share capital of Mighty Smart Technology Limited for HK$24.94 million. The consideration will be settled through the allotment of 114.42 million new Creative China shares at HK$0.218 each, utilising the company’s existing general mandate. The issue represents 19.80% of the current share capital and 16.53% of the enlarged share base post-completion.
Mighty Smart, incorporated in Hong Kong in March 2026, owns and operates “YOSO”, a decentralised AI agent marketplace launched in March 2026. As at 31 May 2026 the target reported revenue of HK$0.04 million, a net loss of HK$0.47 million and an unaudited net asset value of HK$24.80 million. Independent valuer Valplus Consulting placed the enterprise value at HK$24.92 million using an adjusted net asset value approach focused on the reproduction cost of YOSO’s software and related intangibles.
Completion is subject to customary conditions, including regulatory approvals, satisfactory financial and technical due diligence, and the absence of material adverse changes before the 30 September 2026 long-stop date. Upon closing, Mighty Smart will become an indirect wholly owned subsidiary of Creative China, and vendor Ms Bo Guanjun will receive the consideration shares, making her a substantial shareholder with a 16.53% stake.
Creative China views the transaction as a strategic expansion of its mobile application development and digital services segment, providing immediate entry into the rapidly growing AI agent market and offering potential synergies across the group’s media and entertainment businesses.
The acquisition qualifies as a discloseable and share transaction under Chapter 19 of the GEM Listing Rules, requiring announcement but not shareholder approval. Creative China will seek GEM Listing Committee approval for the listing of the new shares. Following completion, Youth Success Holdings’ stake will dilute from 14.08% to 11.76%, while public float is expected to move from 47.01% to 39.24%.
Shareholders and potential investors are advised that completion remains conditional; trading decisions should be made with caution.