TK Group expands Vietnam production with land acquisition

TK Group (Holdings) Limited (HKEX:2283) announced the voluntary acquisition of land in Phuc Dien Extended Industrial Park, Hai Duong Province, Vietnam to expand its production capacity and reinforce its "China + Vietnam" dual production layout. The acquisition will be undertaken by the company's wholly-owned subsidiary, CÔNG TY TNHH TK PRECISION TECHNOLOGY HỒNG KÔNG VIỆT NAM. The land parcel, spanning approximately 29,843 sq.m., is acquired from CÔNG TY CỔ PHẦN ĐẦU TƯ TRUNG QUÝ BẮC NINH, designated for infrastructure operation and investment projects with land use rights expiring in 2071. The total consideration for the land is approximately HKD26.76 million and will be funded from internal resources. The company intends to replicate its high-quality plastic injection molding capabilities to meet growing market demand, while also providing mold maintenance and repair capabilities to ensure efficient and scalable large-scale production in Vietnam. The company advises caution when dealing with its securities, as no formal agreement has been entered into at the time of the announcement.