On July 22, Globlease (00990.HK) announced that it has signed a joint venture agreement with Shandong Energy to establish a joint venture enterprise on July 22, 2024. According to the joint venture agreement, Shandong Energy and the company will respectively own 51% and 49% of the joint venture enterprise after its establishment. The registered capital of the joint venture enterprise is expected to be HKD 0.8 billion. Shandong Energy's total contribution will be HKD 0.408 billion and the company's total contribution will be HKD 0.392 billion, with all contributions made in cash.
The contracting parties agree to establish a joint venture enterprise mainly engaged in commodity trading and related business.
In addition to focusing on its current business, the Group has been exploring feasible investment opportunities from time to time to diversify its business and expand its sources of income to ensure sustainable growth. In particular, in China, there is a continued high demand for commodities, with abundant business growth opportunities. The group has established a joint venture enterprise to engage in commodity trading and related business, supplementing the group's existing and future business. Through the establishment of the joint venture enterprise, the contracting parties of the joint venture will be able to complement each other's advantages and share resources, which is conducive to the business development of the joint venture enterprise. The Board of Directors expects the joint venture enterprise to enhance the Group's future profitability.
In addition, through the establishment of a joint venture enterprise, the contracting parties of the joint venture will be able to complement each other's strengths and share resources, which is conducive to the business development of the joint venture enterprise. The Board of Directors expects the joint venture enterprise to enhance the Group's future profitability.