HONG KONG, June 18, 2012 /PRNewswire-Asia/ -- The Board of Directors of Hengli Commercial Properties (Group) Limited (the "Company" or "Hengli", stock code: 169) announced that it has entered into a subscription agreement with China CITIC Bank Corporation Limited Fuzhou Branch ("CITI Fuzhou") to pre-sell majority of the unsold portion of "Hengli-Financial Center" at a total consideration of approximately RMB716 million on 13 June 2012.
According to the agreement, CITIC Fuzhou is subscribing to the commercial area on the 1st to the 5th floor, the office units on the 16th to the 25th floor, and 240 units of underground parking spaces. A deposit of RMB50 million has been made. It is expected that the formal sales agreements will be signed by the end of July 2012 and Hengli will receive 95% of the total consideration by the end of August 2012. The remaining 5% of the consideration will be received upon obtaining the "Ownership Certificate of Property" for the above subscribed properties. The Company estimates the aforesaid properties will be delivered to CITIC Fuzhou by the end of October 2012.
"Hengli-Financial Center" is located at the Wusi business area of Gulou District, Fuzhou City, Fujian Province, PRC, which is the business and financial center of Fuzhou City, with a total gross floor area of around 50,645 sq.m. It is expected to be completed in the second half of this year. the accumulated pre-sold area of commercial and office units of "Hengli Financial Center", including the aforesaid subscribed properties of about 20,185 sq.m., is approximately 33,047 sq.m., the accumulated number of pre-sold underground parking spaces is 257 units, and the accumulated pre-sale consideration of "Hengli Financial Center" is approximately RMB1,078 million. The pre-sale progress is satisfactory.
Commenting on the agreement, management of Hengli said, "'Hengli Financial Center' has recorded a satisfactory pre-sale progress. CITIC subscribing to the majority of the remaining units has reflected that the 'Hengli' brand is well recognized by the market. We believe that this successful pre-sale will improve the Group's working capital and may contribute to the Group's future profit growth."
About Hengli Commercial Properties (Group) Limited
Hengli Commercial Properties (Group) Limited is listed on the main board of the Stock Exchange of Hong Kong Limited (stock code: 169). The Company is principally engaged in the sales and development of property projects, as well as the investment of commercial properties. Currently the key projects of the Company are in Gulou District of Fuzhou city, a Strait West Coast Economic Zone. The Company owns Hengli City, Hengli Financial Center, Hengli Prosperity Center and Hengli Bona Plaza.
