Web dev client wanting to give a copy of custom code I wrote for them to another business – okay or nokay?

I’m a freelance web dev, who has built a custom ecommerce website for a client.

The client wants to allow a sister business to make a copy of the code for their own website.

What is the “done thing” in these circumstances?

Is this completely acceptable, completely unacceptable, or somewhere in between?

Contact wise, I own the code. But I’d only tell them no if it’s one of those “definitely not normal”, “they shouldn’t be doing that”, type of situations.

I’d be grateful for any advice anyone can give me here.

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