Addentax Group Corp. (NASDAQ: ATXG) has disclosed a significant insider ownership position following the filing of an initial Form 3 with the U.S. Securities and Exchange Commission (SEC). The filing identifies Hong Zhihao as a reporting person who is both a director of Addentax Group and a 10% owner of the company’s equity securities.
250,000 Shares Reported
According to the filing, Hong Zhihao beneficially owns 250,000 shares of Addentax Group’s common stock. The shares are reported as being held directly, meaning the ownership is attributed to Hong Zhihao rather than an intermediary entity.
The disclosure provides investors with greater visibility into the company’s insider ownership structure. As a director and significant shareholder, Hong Zhihao has a substantial financial interest in Addentax Group’s performance and future prospects.
No Buy or Sell Transaction
Importantly, the Form 3 does not report a purchase or sale of ATXG shares. Instead, it is an initial statement of beneficial ownership that records the insider’s existing position. Form 3 filings are used by directors, officers and certain significant shareholders to disclose their beneficial ownership when they become subject to the applicable reporting requirements.
Therefore, the filing should not be interpreted as a new insider purchase or as evidence that Hong Zhihao recently acquired the 250,000 shares through an open-market transaction.
Investor Takeaway
The disclosure adds to the growing picture of Addentax Group’s ownership structure. Another recent Form 3 filing identified Seah Chia Yee as a director and 10% owner with 146,539 directly held shares, while a subsequent Schedule 13G reported that holding as approximately 10.3% of the company’s outstanding common stock.
For investors following ATXG, the latest filing is primarily an ownership disclosure rather than a trading event. The 250,000-share position demonstrates meaningful insider exposure, but the filing itself does not indicate that Hong Zhihao bought or sold shares as part of the disclosure.
