LITU HOLDINGS (01008) has announced that on August 27, 2026, its wholly-owned subsidiary, Chuang Jin Properties Limited, entered into an agreement with seller Po Global Limited regarding the acquisition of a property for a total cash consideration of HK$12.51 million.
The acquisition is expected to be completed on or before October 5, 2026. The property is a retail unit located on the ground floor of a commercial building named "Golden Bell Tower" in the prime area of Wan Chai, Hong Kong. The property has a usable area of approximately 275 square feet.
This acquisition represents a strategic opportunity for the group to further expand and strengthen its investment property portfolio, aligning with its strategy to enhance its property leasing business and diversify revenue streams. The property is situated in the same building as properties previously acquired by the group, as disclosed in the company's announcement dated March 25, 2025, and its circular dated May 26, 2025, with those acquisitions completed in June 2025.
The board believes that the acquisition will further consolidate the group's ownership interests in "Golden Bell Tower" and enhance the overall management flexibility and investment value of its property portfolio within the building. Upon completion of the acquisition, the group intends to renovate the property for leasing purposes, thereby generating steady and consistent rental income for the group and enhancing the long-term value of its investment property portfolio.
Furthermore, given that the consideration represents a discount of approximately 5.8% to the property's indicative value, the board considers that the acquisition is conducted on favorable commercial terms, providing the group with an opportunity to acquire a quality property at a price below its indicative value. The board also notes that the Hong Kong property market has recently shown signs of gradual stabilization and recovery, and therefore, the acquisition provides the group with an opportunity to capitalize on potential future rental growth and asset appreciation benefits.