China Merchants plans to transfer 3 subordinate enterprises with 778 million yuan to further focus on the main business

2022-05-27 0 By

China Merchants Shekou Industrial Zone Holdings Co.,Ltd. (001914.SZ) announced on January 26 that it intends to transfer 100% of its direct and indirect Holdings of three subsidiaries to its controlling shareholder China Merchants Shekou Industrial Zone Holdings Co.,Ltd. The total transfer price is 778 million YUAN.According to the announcement, the transfer enterprise includes 100% equity of Shenzhen China Aviation City Investment Co., LTD., the transferee is Shenzhen Merchants Real Estate Co., LTD., the transfer price is 4,073,600 yuan;100% equity directly and indirectly held by Kunshan AvIC Real Estate Co., LTD., the transferee is China Merchants Real Estate (Suzhou) Co., LTD., with the transfer price of 335 million YUAN;Ganzhou AvIC Jiufang Commercial Co., LTD. 100% equity is transferred to Zhuhai Evian Real Estate Co., LTD. The transfer price is RMB 438 million.It is reported, China aviation city investment, kunshan catic, ganzhou nine party for the company, shenzhen China merchants real estate investment real estate, suzhou, zhuhai evian property are the company controlling shareholder China merchants shekou, and China merchants property holds a 3.71% stake in shenzhen, so the equity transfer matters constitute company related party transactions.After the proposed transfer of 100% equity of Ganzhou Jiufang to Zhuhai Evian Real Estate Co., LTD., China Merchants Jiyu said that ganzhou Jiufang would be provided with a loan guarantee quota of 550 million yuan at present, and that Ganzhou Jiufang would provide a joint and several liability guarantee quota of 550 million yuan for bank loan application from Ganzhou Branch of China Minsheng Bank Co., LTD.The loan shall be mortgaged by ganzhou Jiufang Shopping Center and other assets owned by Ganzhou Jiufang. The loan term shall end on March 24, 2025. The guarantee term shall be two years from the date of expiration of the debt performance term of Ganzhou Jiufang, and Ganzhou Jiufang shall provide counter-guarantee for the accumulated investment.As of December 31, 2021, the guarantee balance of investment promotion for Ganzhou Nine parties is 208 million yuan.China Merchants Jiyu said in the announcement that the company has clearly defined the “12347” development strategy to build into “China’s leading property asset management operator” as the goal, focusing on property management and asset management two core businesses, to create an asset-light operation platform.The assets of the three subordinate enterprises to be transferred are mainly apartments, commercial and shopping centers and other holding properties. The capital investment is large and the payback period is long, which is inconsistent with the company’s development strategy.The company’s transfer of all the equity of the three enterprises will be conducive to promoting the company’s strategic implementation, further focusing on the main business, optimizing resource allocation, and improving the overall asset operation efficiency and profitability.Figure source: Investment investment surplus announcement