- Hong Kong-based real estate developer Country Garden Holdings (2007.HK) has reached an agreement to make a RMB 930 million strategic investment in CIMC Industry & City Development Co., as reported by China.com.
- After the deal, Country Garden will hold a 25% stake in CIMC Industry & City Development.
Why It Matters:
- CIMC Industry & City Development is a unit under China International Marine Containers (Group) Co., Ltd. (000039.SZ), which is also known as CIMC. CIMC is principally engaged in the manufacture and distribution of road transport vehicles and containers. CIMC Industry & City Development’s main focus is the development and operation of different types of real estate properties.
- CIMC believes that the deal will give the company greater access to Country Garden’s capital and intellectual resources and will help the company expand in the real estate development sector.
- Country Garden entered the Industrial real estate industry in May 2017 by completing the building of its first “Tech Town” in Huizhou City, Guangdong Province. The company expects that by making the strategic investment in CIMC Industry & City Development, which is experienced with Industrial real estate businesses, it will help the company expand further in the sector.