China

Modern Land (China) Plans to Acquire 51% of Yango Yuegang for HK$1.83 Bln

Summary:

  • Modern Land (China) Co Ltd (1107.HK) recently announced plans to acquire 5,100 shares of Yango Yuegang Co., Ltd., which equates to a 51% stake in the company, as reported by Sina Finance.
  • Total transaction amount will be HK$1.829 billion.

Why It Matters:

  • Prior to the deal, Yango Yuegang Co., Ltd. was a fully-owned subsidiary of Chinese real estate developer Yango Group Co Ltd (000671.SZ). After the deal, Yango Group will hold a 49% stake in Yango Yuegang.
  • Through subsidiaries, Yango Yuegang¬†indirectly owns major interests in two land lots with a total area of 95,400 square meters.
  • Modern Land is principally engaged in the property development and property investment businesses. Through the acquisition, Modern Land and Yango Group plan to cooperate on real estate development and operations.