China's top property manager looks for takeover target in HK
Mainland's market leader eyes players suffering from profit squeeze
Colour Life Services Group, the mainland's top property management firm, is seeking acquisition opportunities in Hong Kong, company chairman Pan Jun said.
The company, which is listed in Hong Kong, has a presence in 109 mainland cities, managing 136.4 million sq metres of residential space at the end of last year.
It made its first overseas foray in November, when it acquired 68 per cent of Steadlink Asset Management in Singapore for HK$6.6 million. Steadlink manages 703,000 sq metres of residential property in Singapore.
Colour Life was in talks with other Singaporean property managers about possible acquisitions, Pan said.
"Apart from Singapore, we are also looking for a target in Hong Kong," he told the South China Morning Post. "Hong Kong's property managers are suffering a fall in profit margins because of the rise in labour costs. Some small and medium-sized players are pulling back businesses or being acquired by others.
"We think our model can help them tackle current challenges - probably their best option."
Pan said he could take Colour Life's mobile-app-based value-added services abroad to meet all kinds of client demands following satisfactory trials on the mainland last year.