Hong Kong IPO disclosure precedents · 45 companies, 68 items
lease agreements not registered/filed; lessor lacks title or consent to sublet; leased property use not conforming to planned use; leasing allocated or collective land; relocation risk
Compliance matters are read from filings since 24 August 2026.
For instance, certain lessors fail to provide the valid ownership certificates for our leased properties, hence they may have no rights or authorizations to lease such properties to us.
Risk Factors · p. 46
Our use of the leased properties with title defects may be affected by third parties’ claims or challenges against the lease.
During the Track Record Period and up to the Latest Practicable Date, despite our effort in procuring the lease registrations of certain of our leased properties, we were unable to secure such registrations for certain leased properties for office use in respect of five leased properties, primarily due to one of the following reasons: (i) the landlords have only completed the relevant construction permits and have not obtained the relevant ownership certificates; (ii) the landlords are natural persons and refuse to cooperate in filing the lease registrations; or (iii) the competent authority did not permit the separate registration of the lease in relation to some unused rooms of our self-owned property which we have leased out.
Business · p. 166
Going forward, we intend to take into consideration the lessors’ title and willingness to provide assistance in registering lease agreements when renewing existing leases or entering into new leases.
During the Track Record Period and up to the Latest Practicable Date, save as disclosed above, as advised by our PRC Legal Advisers, our land use rights and our leased properties are in compliance with the applicable PRC laws and regulations in all material respects.
During the Track Record Period and up to the Latest Practicable Date, we had not completed the registration of lease agreements for five of our leased properties in China.
Risk Factors · p. 43
As of the Latest Practicable Date, five of our leased properties have not been registered for lease filing as required under PRC regulations.
Business · p. 175
As advised by our PRC Legal Advisor, the validity and enforceability of the lease agreements are not affected by the failure to register or file the lease agreements with the relevant government authorities.
As of the Latest Practicable Date, two of our leased properties in the PRC had not been registered with the relevant PRC government authorities.
Risk Factors · p. 52
As advised by our PRC Legal Advisors, failure to complete the registration and filing of lease agreements will not affect the validity of such leases or impede our use of the relevant properties but could result in the imposition of fines up to RMB10,000 for each leased property that is unregistered if we fail to rectify the non-compliance within the time frame prescribed by the relevant authorities.
However, as of the Latest Practicable Date, some of our leased properties have not been registered with the relevant PRC government authorities.
Risk Factors · p. 47
As of the Latest Practicable Date, we have six leased properties that have not been registered in accordance with the applicable regulations.
Business · p. 190
According to our PRC Legal Advisers, failure to complete lease registration does not affect the legal validity of the leases. However, the local housing authorities may impose a fine of up to RMB10,000 per lease for non-registration.
As of the Latest Practicable Date, certain lessors of our leased properties had not provided copies of the real property title certificates to us.
Risk Factors · p. 59
As advised by our PRC Legal Adviser, the real property owners are legally required to acquire the relevant real property title certificates, and therefore the aforementioned title defects will not lead us to become subject to any penalties under relevant laws and regulations.
As of the Latest Practicable Date, the actual usages of eleven leased properties with an aggregate GFA of approximately 14,502.4 square meters, representing approximately 59.4% of our total leased GFA, were used for purposes inconsistent with their usages as recorded in their property ownership certificates.
Business · p. 222
Based on the above, our PRC Legal Advisor is of the view that we would not be subject to any administrative penalties, but may not be able to occupy and use such leased properties if the lease was challenged by any interested party or if the lessor was penalized by the competent government authority.
Business · p. 222
As of the Latest Practicable Date, the actual usages of certain leased properties were used for purposes inconsistent with their usages as recorded in their property ownership certificates, which may also challenge or interrupt our use and occupation of the relevant properties if the lessors are ordered by the relevant authorities to rectify within a time limit.