Zhitong Financial APP News, Dafeng equipment (02153) announced that on December 6th, 2021, the company and IFS Capital Limited (IFS) entered into a non-legally binding memorandum of understanding on the proposed establishment of a joint venture company to provide tower crane financing in China.
The Directors are of the view that the signing of a memorandum of understanding on the proposed establishment of a joint venture company will enable the Group to expand the financial leasing market for tower cranes in China. The Directors are of the view that the conclusion of the MOU is in the overall interest of the Company and its shareholders as the proposed transaction under the MOU, once completed, will enable the Group to strengthen its tower crane financial leasing business to broaden its revenue sources. The Directors also believe that by leveraging IFS's expertise in financial leasing, the partnership with IFS will advance the Group's existing service portfolio and provide new growth opportunities for the Group in the future, as well as further strengthen the Group's position in the tower crane service market.