Gelonghui November 3 | Han Guo Real Estate (00160.HK) announced that on November 3, 2023, Best Range Global (a direct wholly-owned subsidiary of Korea)Based on a second supplementary shareholder agreement with Hengjing Japan and the joint venture company, Best Range Global and Hengjing Japan agreed to increase their share of the total capital of the joint venture by 5,700 million yen in proportion to be used for potential additional investment in Japanese hotel properties.
BeStrangeGlobal and Hengjing Japan own 60% and 40% of the joint venture, respectively. As a result, the maximum amount of further capital commitment invested by Best Range Global and Hengjing Japan was 3,420 million yen and 2,280 million yen, respectively.
Based on previous transactions, Best Range Global's total capital commitment to the joint venture was 2,810.4 million yen. Taking into account the additional capital commitments made by BeStrangeGlobal under the second supplementary shareholder agreement, the maximum capital commitment amount granted by BeStrangeGlobal to the joint venture will increase to 6,230.4 million yen.
The board of directors of Jianye believes that the conclusion of the second supplementary shareholders' agreement and the transactions to be carried out thereunder are carried out in the daily and general course of business of Jianye, that the terms of the second supplementary shareholder agreement are fair and reasonable, and that the increase in capital burden is in the overall interests of Jianye and its shareholders.