1957 & CO. (ASX: 08495) has announced an update regarding the previously disputed sale of its "Akanojo" brand restaurant business located in Causeway Bay. On June 5, 2026, the seller, an indirect wholly-owned subsidiary of the company, and the buyer entered into a settlement agreement following fair negotiations to amicably resolve the dispute, which arose in part from the buyer's failure to complete the transaction.

Under the terms of the settlement agreement, the seller and buyer have agreed to resolve the dispute subject to certain conditions. These include the updating and transfer of relevant licenses for the Akanojo business in accordance with the settlement, alongside a payment totaling HK$350,000. The company's group has consistently maintained its position that the seller fulfilled the relevant pre-conditions under the original business transfer agreement on or before the final deadline, while the buyer failed to complete the transaction as per the agreement's terms.

Despite this stance, the board of directors considered several factors in deciding to enter the settlement. These considerations included the time, cost, and management resources that formal legal proceedings would likely consume, the inherent uncertainty surrounding the outcome and duration of any such proceedings, a comparison of the settlement amount with sums already received and retained by the seller, and the benefits of achieving a friendly resolution and finality to the matter. The board concluded that executing the settlement agreement is fair and reasonable, serving the overall interests of the company and its shareholders.