Eco-Tek Hldgs (08169) has announced that, as the current lease agreement is due to expire on August 31, 2024, the board of directors is pleased to announce that on August 8, 2024, Gainwise, as the landlord and Hua Yong (an indirectly wholly-owned subsidiary of the company), as the tenant, have entered into a new lease agreement for a period of two years from September 1, 2024 to August 31, 2026 (including both days).

Gainwise is a related party wholly-owned by Wide Sky, which also directly holds all the equity interests of Team Drive (whose issued share capital accounts for 53.06% of the total issued share capital of the company and is a major shareholder of the company) and Gainwise.

Reportedly, the property is located at Room 902, Wah Lan Centre, 20-36 Wong Chuk Hang Road, Hong Kong with a total usable area of 160.6 square meters.

Since September 2021, the Group has been leasing the property from Gainwise for use as office space to accommodate its employees. As the current lease agreement for the property is due to expire on August 31, 2024, Gainwise (as the landlord) and Hua Yong (as the tenant) have entered into a new lease agreement for the property after fair negotiation, with the rent based on current market rental value. Considering the comparable market rental level of other properties nearby and the rental payable by Asian Way under the new lease agreement, the directors (including independent non-executive directors) believe that the proposed transaction under the new lease agreement is conducted on normal commercial terms or better and is fair and reasonable in the ordinary course of business of the Group and in the interests of the company and its shareholders as a whole.