Lai Sun Garment (International) Limited Announces Major Transaction: Disposal of Subsidiary and Grant of Call Option
Key Points of the Transaction
- Major Transaction: Lai Sun Garment (International) Limited (“LSG” or “the Company”) announced a major transaction involving:
- Disposal of a subsidiary (Target Company: Ample Beyond Limited)
- Grant of a Call Option to the Purchaser (Wave Expandary Limited)
- General Meeting: Shareholders’ approval will be sought at a General Meeting scheduled for 29 June 2026 at Hong Kong Ocean Park Marriott Hotel.
- Transaction Details:
- Sale of 814 shares in Ample Beyond Limited, representing 81.4% of the Target Company’s issued share capital.
- Target Company indirectly owns 98.27% of Camper & Nicholsons International S.A., a global yacht management and brokerage business based in Luxembourg.
- Total consideration for the Disposal: €40,000,000 (approx. HK\$368 million), subject to adjustment.
- The Purchaser values the Target at €50,000,000 for 100%, implying a 12x EBITDA multiple on Management Pre-Closing FY2025 EBITDA.
- Put Option and Call Option will allow for the disposal of the remaining 18.6% shares at a similar valuation, with estimated consideration for each option at €9,135,000 (approx. 18.27% of total valuation).
- Financial Impact:
- Estimated gain for LSG: HK\$91 million after deducting transaction costs.
- LSD Group (subsidiary): Estimated gain HK\$92 million.
- Net proceeds of approx. HK\$440 million will enhance liquidity and financial flexibility, supporting general working capital and debt repayment.
- Upon completion, Target Company will cease to be a subsidiary, and its results will no longer consolidate into LSG and LSD accounts.
- Shareholders Agreement:
- Board composition post-transaction: Purchaser nominates four directors, Vendor (LSG) nominates one.
- Reserved matters require approval from Vendor’s nominated director.
- Rights of first refusal and tag-along rights for future share transfers.
- Put Option (Vendor’s discretion) and Call Option (Purchaser’s discretion) exercisable after 31 December 2027.
- Market Context:
- Offer was the most favourable among several bids, with the 12x EBITDA multiple matching industry comparables for yacht retailing/management.
- Strengthens LSG’s streamlined business focus, liquidity, and cash flow.
- Strategic review aims to maximize shareholder returns and streamline portfolio.
- Directors recommend shareholders to vote in favour of the resolution.
Important Shareholder Information & Price Sensitivity
- Shareholder Approval Required: The transaction is classified as a major transaction under HKEX Listing Rules and requires shareholder approval.
- Potential Price Impact:
- Significant gain from disposal and cash inflow may enhance LSG’s share value and liquidity position.
- Strategic exit from yacht management business may change the risk profile and business focus of LSG.
- Proceeds to be used for working capital and debt repayment, potentially improving financial health and reducing leverage.
- Conditions Precedent: Transaction is subject to conditions including shareholder approval, execution of agreements, regulatory approvals, and no material adverse change.
- Voting Process: All shareholders are entitled to vote; no abstention required as no shareholder has a material interest in the transaction.
- Risks: Completion may or may not proceed if conditions are not met. Shareholders and investors are advised to exercise caution in dealing with LSG shares.
- Working Capital Sufficiency: Management confirms that, subject to completion of the transaction and other asset sales, LSG has sufficient working capital for at least 12 months.
Detailed Transaction Structure
- Target Group Financials:
- FY2025 unaudited revenue: HK\$270.7 million; profit after tax: HK\$13.06 million.
- Net asset value as at 31 Jan 2026: HK\$349 million (before shareholder loan deduction).
- Adjustment Mechanism:
- If Adjusted Audited FY2025 EBITDA is below €3,990,000, consideration reduces (up to €8 million cap).
- Additional adjustments for client cash balance, cash/debt, and net working capital at completion.
- Purchaser Structure:
- Purchaser and Purchaser’s Guarantor are ultimately owned by an independent trust (Cantrust (Far East) Limited), ensuring independence from LSG and LSD.
Other Corporate Updates
- Asset Disposal Program: Group targets HK\$8,000 million asset disposals over two years; HK\$7,000 million expected proceeds already achieved.
- Property & Media Businesses:
- Hong Kong property market shows signs of recovery; residential projects progressing well.
- Chinese Mainland property market remains challenging but stable with policy support.
- Media and entertainment business faces headwinds; some success with local productions.
Conclusion & Recommendation
The Board considers the disposal and grant of the call option to be fair, reasonable, and in the best interest of shareholders. The transaction is expected to improve liquidity, streamline operations, and provide flexibility for future exits from the yacht management business. Shareholders are strongly urged to vote in favour of the resolution at the upcoming General Meeting.
Disclaimer
This article is for information purposes only and does not constitute investment advice. Shareholders and investors should review the full circular and consult their own professional advisors before making any investment decisions. Completion of the transaction is subject to various conditions and may not proceed. Lai Sun Garment (International) Limited and its subsidiaries undertake no obligation to update the information in this article.
麗新製衣（國際）有限公司重大交易詳情及對股東的影響
關鍵交易要點
- 重大交易：麗新製衣（國際）有限公司（「麗新製衣」或「公司」）公佈涉及：
- 出售子公司（目標公司：Ample Beyond Limited）
- 向買方（Wave Expandary Limited）授予認購期權（Call Option）
- 股東大會：股東大會將於2026年6月29日在香港海洋公園萬豪酒店舉行，尋求股東批准。
- 交易細節：
- 出售Ample Beyond Limited的814股，佔目標公司已發行股本的81.4%。
- 目標公司間接持有98.27% Camper & Nicholsons International S.A.（全球遊艇管理及經紀業務）。
- 出售對價為€40,000,000（約港幣3.68億元），會根據協議調整。
- 買方對目標估值為€50,000,000，以管理層FY2025 EBITDA估算，市盈率約12倍。
- 期權部分（Put Option及Call Option）將以相同估值方式處理剩餘18.6%股份，預計對價為€9,135,000（約18.27%總估值）。
- 財務影響：
- 公司估計可錄得約港幣9,100萬元（扣除交易費用）收益。
- LSD集團估計收益為港幣9,200萬元。
- 交易所得現金約港幣4.4億元，將增強流動性及財務靈活性，用於營運資金及償還債務。
- 交易完成後，目標公司將不再為麗新製衣及LSD的子公司，其財務數據不再合併入集團賬目。
- 股東協議：
- 交易後董事會組成：買方提名4名董事，麗新製衣提名1名董事。
- 保留事項須麗新製衣提名董事批准。
- 股份轉讓設有優先認購權及隨售權。
- Put Option（麗新製衣行使權）及Call Option（買方行使權）可於2027年12月31日後行使。
- 市場背景：
- 買方報價最優，12倍EBITDA評估符合業界同類公司。
- 加強麗新製衣業務專注、流動性及現金流。
- 策略性審視目標提升股東回報並精簡業務組合。
- 董事會建議股東投票支持決議。
股東需注意及可能影響股價事項
- 需股東批准：根據港交所上市規則屬重大交易，必須經股東批准。
- 潛在股價影響：
- 出售所得及現金流入將提升麗新製衣流動性及財務狀況，有利股價。
- 策略性退出遊艇管理業務，改變公司業務風險及焦點。
- 所得資金用於營運資金及償還債務，有助改善財務健康及減低槓桿。
- 先決條件：交易需股東批准、協議執行、監管審批及無重大不利變化等條件達成。
- 投票程序：所有股東均可投票，無須回避，因無股東對交易有重大利益。
- 風險：如先決條件未達成，交易或未能完成。股東及投資者應審慎處理麗新製衣股份。
- 營運資金：管理層確認若交易及其他資產出售順利，麗新製衣有足夠資金應付未來12個月營運需求。
交易結構詳情
- 目標集團財務：
- 2025財年未審核收入：港幣2.71億元，稅後盈利：港幣1,306萬元。
- 2026年1月31日淨資產值：港幣3.49億元（未扣除股東貸款）。
- 調整機制：
- 若調整後EBITDA低於€3,990,000，對價將減少（最高減幅€8百萬）。
- 完成時還會根據客戶現金結餘、現金/負債及營運資本等調整對價。
- 買方結構：
- 買方及擔保人最終由獨立信託（Cantrust (Far East) Limited）持有，確保與麗新製衣及LSD無關聯。
其他企業動態
- 資產出售計劃：集團兩年內目標出售資產港幣80億元，已達至港幣70億元，繼續洽談其他資產出售。
- 地產及媒體業務：
- 香港地產市場回穩，住宅項目進展良好。
- 內地地產市場雖仍具挑戰但政策支持穩定。
- 媒體娛樂業面臨困難，但本地製作有亮點。
結論及建議
董事會認為本次出售及認購期權授予公平合理，符合股東整體利益，預計將改善流動性、精簡業務並提供未來退出彈性。股東應積極於股東大會投票支持本決議。
免責聲明
本文僅供資訊參考，不構成投資建議。股東及投資者應細閱完整通函並諮詢專業顧問，交易完成需多項條件配合或未必能成行。麗新製衣（國際）有限公司及其附屬公司無須更新本文資訊。
