目标公司为一间于日本注册成立的有限公司，主要从事(其中包括)物业投资。于本公告日期，目标公司由陈直接全资拥有，而目标公司的主要资产及业务为物业的投资及其租赁。On July 17, Gelunhui announced that on July 17, 2024, (a) the target company Delin Investment Co., Ltd. (as the issuer); and (b) subscriber 1 Instant Glad Investments Limited (a wholly-owned subsidiary of the company), subscriber 2 Wudao Co., Ltd. and subscriber 3 (Hijiri Partners Co., Ltd.) signed a subscription agreement. As a result, the subscriber has agreed to subscribe subject to the conditions and the target company has agreed to allocate and issue the subscription shares (accounting for 87.5% of the enlarged issued share capital of the target company after the allocation and issuance of the subscription shares). The total subscription price is 0.14 billion yen.
The target company is mainly engaged (including) in property investment, and its main assets and activities are property investment and leasing.
At the time of its registration and as of the date of this announcement, the target company is wholly owned by Chen Ningdi (chairman of the board of directors, executive director, CEO and controlling shareholder of the company). In order to facilitate the target company's proposed purchase of the property at that time, Chen (as the sole shareholder of the target company) obtained loan financing from the lender based on the financing letter. The loan financing has been fully withdrawn by Chen and lent to the target company as a shareholder loan of DLJP to allocate the funds for its purchase of the property. In this regard, the target company has provided corporate guarantees and mortgages.
The target company is a limited company registered in Japan, mainly engaged (including) in property investment. As of the date of this announcement, the target company is wholly owned by Chen directly, and its main assets and businesses are property investment and leasing.
The group has been actively exploring global real estate investment opportunities. This move will help enhance the group's visibility, accelerate the development of the group's global real estate division, and further expand the group's sources of income. The subscription matter is the group's first real estate investment in Japan, and the target company is planned to be used as the group's subsidiary in Japan, which is a good opportunity for the group to expand into the Japanese financial market.
After considering various factors such as location, rental yields, the target company's original purchase price of 189 million yen for the property purchased in 2022, the history and potential for value appreciation of the property, the directors believe that the subscription matter provides an opportunity for the group to (i) expand and strengthen its real estate investment portfolio, enabling the group to benefit from any future capital appreciation, and (ii) generate new rental income sources, which can serve as the group's stable cash flow and source of income.
