Hopson Development Holdings Limited (Hopson Dev) has called a special general meeting (SGM) for 24 June 2026 to seek shareholder approval to remove Ernst & Young (EY) as auditor and appoint Crowe (HK) CPA Limited in its place. The Board plans to pass an extraordinary resolution for EY’s termination and an ordinary resolution installing Crowe until the next annual general meeting.
The proposed switch follows an audit impasse that has delayed publication of Hopson Dev’s FY2025 results and triggered a trading suspension in the company’s shares from 1 April 2026. EY was re-appointed auditor at the June 2025 AGM but has yet to complete the FY2025 audit. Key unresolved items include outstanding third-party confirmations (banks, trade receivables/payables, related parties), incomplete valuation reports on inventory impairment, investment properties and other assets, and additional audit evidence requested for the going-concern assessment. EY advised shareholders that, as at 28 April 2026, it had not received sufficient information to validate the going-concern assumption.
The Audit Committee and Board concluded that further delays were likely if EY remained in place, citing continued disagreement over the scope of evidence required. All audit fees due to EY have been settled. A special notice was served on 28 April 2026 to terminate EY’s mandate.
Crowe’s engagement plan includes re-reviewing FY2024 figures, conducting a full FY2025 audit, and addressing all outstanding matters. The firm will redeploy approximately 50 professionals across Hong Kong and Mainland China, budgeting about 21,000 audit hours. Work is scheduled to start in mid-June 2026, with completion targeted for early August and the release of FY2025 results by late August 2026, subject to timely information delivery.
Estimated audit fees for Crowe range between RMB 8.50 million and RMB 10.00 million, covering the FY2025 audit and review of FY2024 opening balances. The Audit Committee confirmed Crowe’s independence, industry expertise and resource adequacy, and believes the change will expedite financial reporting and facilitate compliance with Hong Kong listing requirements.
Shareholders registered by 17 June 2026 will be eligible to vote at the SGM. Poll results will be published following the meeting.