Ever Sunshine Services Group Limited: Cancellation of Repurchased Shares

Key Points for Investors

• Share Repurchase Details: Ever Sunshine Services Group Limited recently completed a series of share repurchases on the Hong Kong Stock Exchange between 15 December 2025 and 28 January 2026.
• Number of Shares Repurchased: The company repurchased a total of 5,962,000 shares, accounting for approximately 0.34% of its total issued shares at the time of the buy-back mandate approval.
• Cancellation of Shares: On 25 February 2026, all the repurchased shares were officially cancelled, reducing the company’s total issued shares from 1,728,554,000 to 1,722,592,000.
• Potential Impact on Shareholder Value: The board expects that the cancellation of these shares will enhance the net asset value per share and/or earnings per share. This move is regarded as being in the overall interests of the company and its shareholders.
• Board Composition: The current board includes four executive directors, one non-executive director, and three independent non-executive directors, confirming the company’s commitment to governance and oversight.

Important Information for Shareholders

Share Cancellation Is Price Sensitive: The cancellation of repurchased shares is a significant development. By reducing the number of outstanding shares, the company increases the ownership value of each remaining share. This can potentially enhance both the net asset value per share and the earnings per share, two key metrics closely watched by investors. Such corporate actions are typically seen as positive by the market, especially when they signal confidence in the company’s financial health and future prospects.

Possible Share Price Movement: Investors should be aware that these actions may lead to a positive reaction in the share price. Share repurchases and subsequent cancellations often indicate that management views the shares as undervalued and is taking steps to return value to shareholders. The reduction in share count is also expected to have an accretive effect on shareholders’ interests.

Shareholder Interests: The board’s decision aligns with the objective of maximizing shareholder value, and the action may attract new investors or increase confidence among existing shareholders.

Further Details

• Date of Mandate Approval: The buy-back mandate was approved earlier in 2025, as referenced in the company’s circular dated 29 April 2025 and prior announcement dated 22 May 2025.
• Timeline of Repurchase: Repurchases took place over a month and a half, ending with cancellation in late February 2026.
• Company Structure: Incorporated in the Cayman Islands with limited liability, Ever Sunshine Services Group Limited is listed on the Hong Kong Stock Exchange under Stock Code: 1995.
• Leadership: The announcement was made by Chairman Mr. LIN Zhong, with the executive team and board composition noted.

Conclusion

The cancellation of repurchased shares by Ever Sunshine Services Group Limited is a strategic move designed to improve the company’s financial metrics and enhance shareholder value. Investors should monitor the company’s share price and earnings reports for potential positive developments following this announcement.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are advised to conduct their own research or consult with a financial advisor before making any investment decisions. The information herein is based on publicly available disclosures and may be subject to change.

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