Gelonghui, December 22 | Jiayao Holdings (01626.HK) announced that on December 22, 2023, the company, the buyer Master Bliss Holdings Limited, the guarantor and Hubei Golden Three Gorges entered into a sales agreement. According to this, the company has agreed to sell and the buyer has conditionally agreed to purchase shares for sale (accounting for 30% of the issued share capital of the target company Giant Harmony Limited) at a cost of HK$474.66 million. After completion, the company will remain the legal and beneficial owner of 70% of the total issued share capital of the target company. The target company will remain a subsidiary of the company and its financial results will continue to be consolidated in the Group's financial statements.
As far as the sale agreement is concerned, on the date of completion, the buyer will sign a share pledge with the company as the beneficiary to guarantee the buyer's fulfillment of the third payment obligation. On the date of the announcement, the target company was a limited company incorporated under the laws of the British Virgin Islands and a wholly-owned subsidiary of the company.
Bringing in new investors can bring a variety of benefits to the company. First, guarantors have extensive business networks and relationships, which helps the company explore new business cooperation opportunities and reach new customers and partners, thereby expanding market share and increasing sales revenue.
Second, guarantors can share development goals and strategic visions with the company. His investment in the company shows that he is confident in the company's development potential and is willing to work together to achieve business growth, expand market share and create value. Furthermore, guarantors can bring novel ideas and drive upgrades and improvements in fields such as product design and supply chain management. With his broad business vision and market expansion capabilities, he can help the company enter new markets, expand new customers and partners, and seize broader business growth opportunities.
Thirdly, guarantors have professional knowledge and experience in enterprise management and operation, and can provide effective management and strategic guidance. He can introduce advanced management systems, process optimization and business model innovation to improve operating efficiency and achieve cost reduction and profit. In addition, guarantors can introduce senior executives and professionals to the company, strengthen human resource allocation and development, and promote organizational growth and personnel development.
Finally, joining a guarantor can enhance the company's financial strength and stability, and provide long-term development planning and strategic support for sustainable growth and business expansion. The introduction of new investors will help the company maintain its competitive advantage in the tobacco packaging industry, achieve business growth and create value, while welcoming more opportunities for cooperation, expanding market share, enhancing brand influence, and promoting the development and prosperity of the entire industry.