Smart Fish Wealthlink to sell US$11.5M in CMBC shares, booking US$3.05M 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 US$11.5M. The sale runs through two conditional agreements and is set to book a loss of roughly US$3.05M.
How it breaks down: Agreement A sells 19,782,250 shares to Chen Jinfu for US$7.17M, mostly paid in cash before signing. Agreement B sells 12,000,000 shares to Shio Tian Ho for US$4.35M, paid in cash upfront.
Why the loss? The US$3.05M hit stems mainly from a US$7.74M loss on shares bought in 2016-17 at US$1.4 each. That is partly offset by a US$4.69M gain on shares acquired in 2026 at US$0.17 each.
What's the endgame? Smart Fish plans to cut its securities exposure and shore up its balance sheet. Net proceeds of about US$11.5M will go US$4.11M to debt repayment and US$7.41M 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 US$1.4M at prices between US$0.18 and US$0.54 each. CMBC itself reported revenue of US$56.5M and net profit of US$18.3M 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
