China property

Sunac agrees to buy seven properties from Top Spring for HK$5.22 billion

Properties are on the mainland.

PUBLISHED : Friday, 20 May, 2016, 12:20pm
UPDATED : Friday, 20 May, 2016, 12:20pm

Shares of Sunac China rose 2.6 per cent on Friday after it said it would buy seven properties on the mainland for a total of HK$5.22 billion.

The company’s shares traded at HK$4.71 as of 11 am.

In a filing to the Hong Kong stock exchange on Thursday, it said it has signed a framework agreement to buy Top Spring International Holdings’ property projects in six mainland cities including Shanghai, Hangzhou and Shenzhen.

“Sunac China has always insisted on a regionally-focused development strategy and has laid out its strategic plan in the core first- and second-tier cities on the mainland,” Chairman Sun Hongbin said in the statement.

“The transaction will enable Sunac Group to enter the Shenzhen property market, which has good long-term prospects and huge development potential,” he said.

At the same time, the company’s other property projects have enabled it to increase land holdings and market share in first- and second-tier cities, he said.