This announcement supplements the Company’s announcements dated 17 July 2026 in relation to the resignation of Grant Thornton Hong Kong Limited (“GT”) and 27 July 2026 in relation to the appointment of BDO Limited (“BDO”) as auditor of the Group, and provides additional information on both matters.
GT first proposed a significant increase in its audit fee for the year ended 30 June 2026 on 22 June 2026. The Company accepted GT’s revised fee of HK$1.7 million (year ended 30 June 2025: HK$0.85 million) on 26 June 2026, and agreed to GT’s request to rotate to other lawyers and valuers for the valuation of the Group’s project in Macau. GT subsequently sought additional, unquantified fees for its own external experts that had not been required in prior years, and on 14 July 2026 indicated it would consider resigning if the Group could not accept this. Given the Group’s business was substantively unchanged from the prior year and the Company had already agreed to GT’s other requests, the Audit Committee considered this last-minute requirement unreasonable, and found no other reason behind GT’s resignation.
BDO has confirmed its independence from the Group under the HKICPA Code of Ethics, and that it will not use component auditors for the engagement, though it plans to engage BDO PLT in Malaysia as tax expert for the Group’s Malaysian subsidiary. BDO has budgeted 2,328 hours across its engagement team, covering Hong Kong, Macau, Malaysia and the PRC. Having reviewed this and the range of fees proposed by GT and other candidate firms (HK$1.0 million to HK$1.7 million), the Audit Committee considers BDO’s agreed fee of HK$1.25 million commensurate with the scope of work and not unusually low.
The Audit Committee has reason to consider that the Company will be able to publish its annual results for the year ended 30 June 2026 within the deadline specified in the Listing Rules.
This announcement supplements the Appointment of Auditor announcement of 28 July 2026.