New World China Land announced reorganization plan, streamlining shareholding structure in Shanghai projects
New World China Land Limited ("NWCL" or "the Group", Hong Kong stock code: 917) announced today a reorganization plan involving certain NWCL's projects in Shanghai. After reorganization, NWCL and Gold Wealth Investment Limited ("Gold Wealth") will hold 56.46% and 43.54% shareholding of New World China Property Limited ("NWCP") which will in turn hold the entire interests in he abovementioned NWCL's projects.
NWCL has been considering and negotiating with a company whose shares are listed on the Shenzhen Stock Exchange ("Shenzhen Company") regarding the possible acquisition by the Shenzhen Company of the entire equity interest in these projects in Shanghai to be held by NWCP in exchange for certain new shares to be issued by the Shenzhen Company to NWCL. The reorganization plan is to streamline the shareholding structure of the NWCL's assets in Shanghai to prepare for and facilitate the proposed acquisitions.
Commenting on the reorganization plan, Mr Adrian Cheng, Executive Director of NWCL said, "NWCL considers that the reorganization plan will streamline the shareholding structure held by NWCL and Gold Wealth in its Shanghai projects and pave the way for NWCP to enter into an agreement with the Shenzhen Company, and it is expected to have the effect of providing an alternative offshore funding platform for the Group in the near future when the Group will hold certain equity stakes in the Shenzhen Company."