RYKADAN CAPITAL (02288) plans to sell 20% equity in Vibrant Colour Holdings Limited.

RYKADAN CAPITAL (02288) announced that on January 23, 2026, the seller (a direct wholly owned subsidiary of the company) and the buyer (a company in which Mr. and Mrs. Chen each ultimately own 50% of the equity) entered into a sale agreement. The seller conditionally agreed to sell, and the buyer conditionally agreed to purchase, all the shares in Vibrant Colour Holdings Limited (equivalent to 20% of the issued share capital of the property company) and the shareholder loan owed by the property company to the seller. Based on the comprehensive management accounts of the property company as of September 30, 2025, and assuming the relevant amounts remain unchanged from that date until the completion date, the consideration will be approximately HK$15.07 million (i.e., the outstanding loan amount as of September 30, 2025 of HK$35.02 million and 20% of the asset value on that date, which is approximately negative HK$19.95 million). Upon completion, the property company will be held 100% by the buyer, and the group will no longer have any equity in the property company's share capital or the shareholder loan owed by the property company. In order to implement the group's strategy of accelerating asset monetization and streamlining non-core holdings, the board of directors believes that the proposed sale provides the group with an opportunity to cash out on the property and streamline its asset portfolio to allocate resources more effectively and seize other investment opportunities, creating better returns for the group.