Man Wah Buys US Upholstered Furniture Maker Gainline Recline in US$58.7 Million Deal

The latest update is out from Man Wah Holdings ( (HK:1999) ).

Man Wah Holdings has expanded its US footprint by acquiring 100% of Gainline Recline Intermediate Corp, a US-based upholstered furniture manufacturer and trader, through its indirect wholly owned subsidiary MW USA Manufacturing. The deal values the business at approximately US$58.7 million, including the Target Group’s debt, with US$32 million paid for the equity and an interest-free shareholder loan of about US$26.7 million extended to fully repay existing bank facilities, while the remainder of the debt is settled from the target’s cash. With completion occurring simultaneously with the signing on 18 December 2025, Gainline Recline now becomes an indirect wholly owned subsidiary whose financial results, assets and liabilities will be consolidated into Man Wah’s accounts, reinforcing the group’s vertical integration and scale in the US upholstered furniture market; the transaction is classified as a discloseable transaction under Hong Kong listing rules, triggering reporting and announcement requirements but not a shareholder vote.

The most recent analyst rating on (HK:1999) stock is a Buy with a HK$5.50 price target. To see the full list of analyst forecasts on Man Wah Holdings stock, see the HK:1999 Stock Forecast page.

More about Man Wah Holdings

Man Wah Holdings Limited is a Bermuda-incorporated company listed in Hong Kong that operates through subsidiaries in the manufacturing and trading of furniture, with a notable presence in upholstered furniture and related products, including in the United States market.

Average Trading Volume: 5,256,570

Technical Sentiment Signal: Sell

Current Market Cap: HK$17.1B

For an in-depth examination of 1999 stock, go to TipRanks’ Overview page.