Kingkey Smart Agriculture parent adjusts share pledges, liquidity impacted

Shenzhen Kingkey Smart Agriculture Times Co., Ltd. reported that its controlling shareholder, Kingkey Group, completed the release of 3,399,851 shares, representing 0.64% of the company's total share capital, from a pledge registered on July 21, 2025. Concurrently, Kingkey Group re-pledged the same 3,399,851 shares (0.64% of total share capital) on September 22, 2025, to individual Guo Jiankang to supplement working capital.

As of the announcement date, Kingkey Group and its affiliate Kingkey Times cumulatively pledged 266,634,360 shares, accounting for 87.98% of their total holdings and 50.28% of the company's total share capital. The high proportion of pledged shares indicates notable financial risk, though the company states there is no immediate risk of forced liquidation. Funds from these pledges are primarily used for Kingkey Group's operational needs, external investments, and to provide guarantees for its subsidiaries, with repayment sources including property sales and rental income.

Kingkey Group's financial data as of June 30, 2025, showed total assets of 10,778,271.52 yuan and total liabilities of 6,909,923.73 yuan, with a net profit of -4,641.62 yuan for the first half of 2025. Despite the high pledge ratio, the company maintains that these transactions will not alter actual control or impact operations and governance.