Smart Fish Wealthlink to sell HK$95.3M in CMBC shares, booking HK$25.2M loss
What's the deal? Smart Fish Wealthlink HoldingsDealroom has a profile for this one. Try Dealroom → will dispose of 31,782,250 shares in CMBC Capital HoldingsDealroom has a profile for this one. Try Dealroom → — about 2.9% of CMBC's issued share capital — for HK$95,347,000. The sale runs through two conditional agreements and is set to book a loss of roughly HK$25.2 million.
How it breaks down: Agreement A sells 19,782,250 shares to Chen Jinfu for HK$59,347,000, mostly paid in cash before signing. Agreement B sells 12,000,000 shares to Shio Tian Ho for HK$36,000,000, paid in cash upfront.
Why the loss? The HK$25.2 million hit stems mainly from a HK$64 million loss on shares bought in 2016-17 at HK$11.58 each. That is partly offset by a HK$38.8 million gain on shares acquired in 2026 at HK$1.403 each.
What's the endgame? Smart Fish plans to cut its securities exposure and shore up its balance sheet. Net proceeds of about HK$95.3 million will go HK$34 million to debt repayment and HK$61.3 million to working capital, freeing the group to focus on other businesses, including AI-driven short drama production.
Why now? The move extends a pattern: in the 12 months to July 2026, the group sold 5,353,000 CMBC shares for HK$11.56 million at prices between HK$1.47 and HK$4.49 each. CMBC itself reported revenue of HK$467.5 million and net profit of HK$151.2 million for the year ended December 31, 2025.
What could go wrong? The disposal constitutes a major transaction under Chapter 14 of the Hong Kong Listing Rules and needs shareholder approval at a special general meeting. If conditions are not met by December 31, 2026, the agreements terminate and deposits are refunded.
The signal: The sale marks a clear reorientation away from securities investing toward operating businesses. Directors call the terms "fair and reasonable," and a circular with the SGM notice is due to shareholders before September 30, 2026.
Read more: Minichart
