Summary by Moomoo AI
Zhongda Group Holdings Limited announced on 15 January 2024 that its wholly-owned subsidiary Yifeng Finance Limited signed a financing letter with Client A, according to which the letter will provide a total loan of HK$6 million to Client A with a loan term of three years at an annual interest rate of 7%. The loan will be secured by a property located in China under Client A, which has an independent valuation of approximately HK$570 million. CDA Group stated that this loan transaction was conducted on general business terms and considered the credit risk involved to be lower. This transaction is a disclosable transaction in accordance with Chapter 14 of the Listing Rules because the relevant percentage exceeds 5%. The Group is primarily engaged in securities and futures trading, financial investment and lending. Yifeng provides lending services to clients as a Hong Kong licensed creditor company. The Board considers that this loan will provide the Group with a stable source of interest income.
