Zhitong Finance App News, Shifang Holdings (01831) issued an announcement. In August 2026, the Company learned from Zhuojia Securities Registration Co., Ltd. that the Company's shares (shares) held by (1) Happy Day Development Limited (holders of 6,195,504 shares, accounting for 0.58%) and (2) Songtai Limited (holder of 13,736,411 shares, accounting for 1.28%) have not been registered according to the share transfer documents dated July 28, 2026 Appropriately and separately transferred to Mr. Chen Jiaxuan and Ms. Zou Huifang, the sole director and beneficial owner of the two companies, Ms. Cheng Shou-ling, had no knowledge of this and was not authorized by them (suspected unauthorized share transfer).
The Company has made inquiries to Ms. Cheng Shou-ling, who confirmed that no one is authorized to sign the share transfer documents on behalf of Happy Day Development Limited and Song Tai Co., Ltd. In addition, the Company also received several other shareholder companies Neo Delight International Limited (7,500,000 shares, 0.70%), Mingyao Investment Holdings Limited (25,000,000 shares, 2.32%), Righteous Stars Limited (7,500,000 shares, 0.70%), Giant Prestiage Limited (7,500,000 shares, or 7,500,000 shares), and Giant Prestiage Limited (7,500,000 shares), accounting for 7,500,000 shares 0.70%), Chuangying International Capital Co., Ltd. (814,554 shares, 0.08%) and Shengtian Limited (20,000,000 shares, 1.86%)) submitted materials (with the remaining shareholders awaiting confirmation of the number of suspected stolen shares to be disclosed) alleging that their shares of the Company have been transferred by the Transfer Registry without authorization to Mr. Chen Jiaxuan, Mr. Chen Jiarui and Ms. Zou Huifang (suspected theft gang), involving unauthorized transfer instructions (suspected theft).
It was mentioned above that the relevant company company has confirmed one by one that the company seal stamped on the share transfer document is only similar to the seal used in the previous document and reserved for registration at the transfer office, but it is not consistent with the naked eye. At the same time, the Company has contacted all relevant law firms (managing attorneys) that were handled and signed by the Company when the relevant shares were issued by the Company, including but not limited to general authorization, etc. The Company now invites all relevant shareholders and directors since subscribing to the relevant shares of the Company to bring their own supporting documents to the relevant Hong Kong law enforcement authorities (including but not limited to the Police Station, Hong Kong Stock Exchange, Hong Kong Securities Regulatory Commission) to check the details of all relevant legal documents, judicial documents and sources of funding at the time of issuance of the shares on site If there is an illegal part or part that is inconsistent with the original legal documents, the Company will hire a separate criminal lawyer to uphold the rule of law in Hong Kong as soon as possible to carry out criminal lawsuits against parties including but not limited to false documents or unclear sources of funding to prevent the suspected theft from happening again. At the same time, the board of directors of the Company seriously clarified that if any legal shareholder or business partner of the Company wishes to sue the relevant shareholders, company directors and shareholders or all persons involved in suspected theft gangs on issues related to the actual transfer of shares, please do not hesitate. The Company has never participated in any of the above acts, and the Company has never given any suggestions or opinions to any of the Company's shareholders in trading the Company's shares.
The Company will disclose further details in a subsequent announcement. Among them, it has been confirmed that tens of millions of shares of the Company's shares have been deposited into Hong Kong Central Clearing Limited by suspected theft and illegal insider trading, that is, it is suspected that the intention is to harvest the relevant investors and business partners of the Company in the secondary market through suspected theft and illegal insider trading. The sole purpose of the Company's suspension of trading is to ensure that the relevant rights and interests of all shareholders legally holding shares of the Company are not damaged. I would like to mention that the Company announced on June 29, 2026, that Ms. Wu Wenlin (Ms. Wu), the third joint venture party in the transaction must be disclosed to the board of directors of the Company that Mr. Chen Zhi, the executive director of the Company, personally tricked him into signing the share transfer letter during the suspected theft. Ms. Wu learned that she was tricked into signing the stock transfer letter as a witness, causing her to unknowingly involve the charges relating to section 73 of the Criminal Offences Ordinance. Ms. Wu has clarified to the Company that she has never seen a personal share transfer. Any shareholder or director of the relevant transferor company was unaware that Mr. Chen Zhi tricked him into signing the relevant document as a share transfer and was willing to go to the relevant law enforcement department of the Hong Kong Police accompanied by the company's lawyer to clarify all their personal legal risks. The board of directors of the company also disclosed that all of Mr. Chen Zhi's actions mentioned above are unrelated to the board of directors of the company and the board of directors of the company is unaware. Regardless of whether Ms. Wu reports or prosecutes Mr. Chen Zhi's related words and actions in accordance with the law, the board of directors of the company will unconditionally support Ms. Wu in defending her rights. At the same time, the Company officially disclosed that Mr. Chen Zhi, the executive director of the Company, was diagnosed with serious diseases related to advanced lung cancer, brain atrophy and cerebral infarction in 2023, and that Mr. Chen Zhi has been unable to enter Hong Kong for more than 3 years due to his personal reasons. The rest of the Board of Directors of the Company has not been able to confirm whether Mr. Chen Zhi still has the relevant ability to perform the duties of the Company's executive director.
The Company reported the suspected unauthorized share transfer to the Hong Kong Police at around 11:00 p.m. on August 21, 2026, and is awaiting investigation. The Company is actively following up on the above incident and evaluating its impact on the Group, and will issue a separate announcement on the further development of the incident in due course to inform its shareholders and potential investors. Shareholders and potential investors are requested to act prudently when trading the Company's shares.
Tricor Securities Registration Co., Ltd. has arranged a share transfer without confirming the identity of the beneficial owners and directors of Happy Day Development Limited and Sontai Limited, which is a gross negligence.
As of the date of this announcement, the suspected unauthorized share transfer is still under internal review by Tricor Securities Registration Limited. Song Tai Limited and Happy Day Development Limited each filed a complaint against Tricor Securities Registration Co., Ltd. on the Securities and Futures Commission website at around 2:50 a.m. on August 27, 2026.
The company's operations and financial position were unaffected by the suspected unauthorized share transfer. The Company will provide full rights protection fees to companies suspected of stealing shares by suspected theft gangs. Protecting the rights and interests of all legal shareholders is the Company's first priority no matter when.
As a result of discovering the above facts, the Company has received several contacts from relevant shareholders (shareholders) who purchased the Company's shares in the secondary market since July 28, 2026. Many of the shareholders stated to the Company that they saw in the securities trading software that the relevant brokerage firm “Bank of China (Hong Kong)” had a record of entering the Company's electronic shares several times higher than the market turnover on August 13, 2026 and August 19, 2026. Therefore, on August 20, 2026, the Company arranged for relevant colleagues to receive the Testimony List from the transfer office. The version found, including but not limited to the above, that the Company's shares held by the relevant shareholder company were transferred to the names of the persons suspected of theft. The Company immediately arranged for colleagues to contact the relevant shareholder companies to see if they knew and confirmed the transaction. Each relevant shareholder company stated that they were unaware and that they had never agreed to transfer the relevant securities and assets nor received any funds to purchase the Company's shares.
At the request of the Company, trading of the Company's shares has been suspended since 10:30 a.m. on August 24, 2026. The Company's shares will resume trading as soon as the relevant law enforcement and supervisory authorities confirm that the Company's relevant shareholders and business partners include, but are not limited to, the basic risks of securities related assets have been eliminated. Since the relevant law enforcement and supervisory authorities have not completed the corresponding enforcement, the company applied for continued suspension of trading.