Item 2. Properties
Item
2. Properties
Our principal executive office is located at Kingkey 100, Block A, Room
4805, Luohu District, Shenzhen City, China 518000. The prior lease for this office expired on July 31, 2025 and has not been renewed.
The Company currently uses this office space without separate rental charge through an arrangement with a company controlled by Mr. Hong
Zhida, our Chief Executive Officer. We also lease properties in the PRC from independent third parties which serve as our manufacturing
factory, dormitory and additional offices for our garment manufacturing and logistics businesses. Following the disposal of HX on July
1, 2025, the Company no longer conducts property management and subleasing business as part of its continuing operations.
Property
Type
Address
Monthly Rental
(RMB)
Size
(Square Meter)
Expiration
date
Manufacturing
factory
Room
501, No. 5 Luotang Road, Dongcheng District, Dongguan, Guangdong, PRC
4,400
600
December
31, 2027
Additional
office
No.
41-46, Building D, Block B, Jinpeng Distribution Center, No. 536, Sha Ping North Rd, Danping Committee, Nanwan St, Longgang,
Shenzhen, Guangdong, PRC
45,600
720
June
30, 2026
Warehouse
and additional office
No.
3 Ping’an Avenue, Pinghu Street, Longgang District, Shenzhen, Guangdong, PRC
30,250
605
May
31, 2026
(1)
(1)
The
Company has been negotiating on the renewal of the lease agreement for the property, and is currently continuing to use this property
after expiration of the previous lease agreement.
As
of the date of this annual report, we also have 114 logistics points and they are located in 10 provinces and 2 municipalities in the
PRC. These logistics service points are operated through cooperation arrangements with local logistics service providers and are not
leased properties of the Company. We believe that the offices, warehouses and factory that we currently lease are adequate to meet our
needs for the foreseeable future.
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