Click Holdings forms partnership with Chinese firm for labor importation

HONG KONG - Click Holdings Limited (NASDAQ:CLIK), a Hong Kong-based human resources and senior care solutions provider with a market capitalization of $13.17 million, announced Tuesday it has signed a Memorandum of Understanding (MOU) with Chongqing Rongge Huida Human Resources Consulting Limited to collaborate on labor importation under Hong Kong’s Enhanced Supplementary Labour Scheme. According to InvestingPro data, the company maintains a healthy balance sheet with more cash than debt, despite its stock experiencing significant volatility this year.

The partnership aims to address labor shortages in Hong Kong by recruiting qualified workers from mainland China, particularly for the senior care sector. Under the agreement, Click will use its AI-powered platform to connect Hong Kong employers with workers, while Rongge Huida will handle recruitment and documentation in China.

The collaboration will cover more than 150 labor-shortage roles across nursing, logistics, catering, retail, and cleaning sectors, according to the press release.

"We are thrilled to establish this strategic partnership with Rongge Huida," said Jeffrey Chan, Chairman, CEO, and Director of Click Holdings in the statement.

Chongqing, with a population exceeding 32 million, represents a significant market for Click’s services, particularly in senior care due to the city’s aging population.

Click Holdings claims its platform currently connects over 110,000 job vacancies with freelancers annually. The company stated in its press release that it expects this partnership to contribute to business growth in the coming years.

The announcement follows Click’s recent contract with a Hong Kong government-affiliated entity, as the company seeks to expand its presence in the cross-border labor market.

In other recent news, Click Holdings Limited has announced securing a significant three-year contract worth HK$21.6 million with a government-affiliated postal service in Hong Kong. This contract is expected to drive a 25% increase in revenue for the company, marking a notable milestone in its public sector expansion. In another development, Click Holdings has acquired a 75% equity interest in a leading nursing care provider, enhancing its position in the healthcare HR sector with over 9,000 additional nursing professionals. This acquisition is anticipated to improve operational efficiencies and profitability. Additionally, Click Holdings plans to build a cryptocurrency treasury focusing on Bitcoin and Solana, potentially reaching a value of US$100 million, as part of its strategy to integrate cryptocurrency solutions into its senior services sector. The company is also exploring cryptocurrency-enabled payment systems to enhance salary disbursements and billing processes. Meanwhile, Click Holdings faces a challenge as it has been notified by Nasdaq for not meeting the minimum bid price requirement, with a 180-day period to regain compliance. The company is exploring options to address this issue, including the possibility of a reverse stock split.

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