Emperor International (00163.HK) announced that the board of directors is pleased to announce that on April 12, 2024, Emperor Rent Guarantee Fund Limited (a wholly-owned subsidiary of the company acting as general partner) and a limited partner have entered into this agreement to establish a property asset investment fund (i.e. fund). The fund will cover several of the Group's investment properties, which will be held by portfolio companies and ultimately owned by the Group.
Under the agreement, Emperor Asset Management (a wholly-owned subsidiary of Emperor Capital) has been appointed as the fund's investment manager.
The establishment of a fund (i) represents the Group's treasury strategic plan to explore new financing channels for continuous business development, and (ii) enable the Group to make good use of rental income and unleash its value in new financing channels. Funding from the limited partner will allow the Group to obtain immediate cash and enhance cash flow, thereby further strengthening its financial position.
Appointing Emperor Asset Management as the investment manager will enable the synergy of cooperation between the Group and Emperor Capital Group to reduce overall operating costs and expenses, thereby improving operational efficiency. By making full use of the respective strengths of the contracting parties, the Board believes that this cooperation is beneficial to the long-term development of the Group. Furthermore, the company can use the large and diverse customer base of the Emperor Group to connect with the right investors. This arrangement is in the overall interests of the company and shareholders.