Recently, Chungs Lawyers (in association with DeHeng Law Offices) advised China Overseas Nuoxin International Holdings Limited (中國海外諾信國際控股有限公司) (“China Overseas Nuoxin”, together with its subsidiaries, the “Group”) on the disposal of the entire issued share capital in Sky Ocean Group Limited (together with its subsidiaries, the “Disposed Group”) to a connected person at the subsidiary level (the “Purchaser”), at a consideration of HKD 72.4 million (“Disposal”). The transaction also involves the entering into of the (a) lease agreement, pursuant to which the Disposed Group agreed to lease production facilities and ancillary facilities to the Group upon completion of the Disposal (“Lease Agreement”); and (b) purchasing agreement, pursuant to which the Disposed Group agreed to supply electrical haircare products to the Group upon completion of the Disposal (“Purchasing Agreement”).
Pursuant to Chapter 14 of the Listing Rules, the Disposal constitutes a major transaction for China Overseas Nuoxin. Pursuant to Chapter 14A of the Listing Rules, the Disposal constituted a connected transaction, the transaction contemplated under the Lease Agreement and Purchasing Agreement constituted connected transaction and continuing connected transaction, respectively.
The Group was founded in 1984 and has been listed on the Hong Kong Stock Exchange since 2005. It is principally engaged in the business of design, manufacture and sales of electrical haircare products. Its headquarters is in Hong Kong and it operates a manufacturing base in Dongguan, the PRC.