China Jishan to sell real estate unit for 786 million yuan

TEXTILE dyer China Jishan Holdings has agreed to sell a real estate unit to a Shanghai-based real estate developer for 785.78 million yuan (S$164.1 million), it said in a Singapore Exchange filing on Wednesday.

Its unit, Zhejiang Jishan Printing and Dyeing, will sell Shao Xing Yue Sheng Real Estate Property Development to Shanghai Jintumu Real Estate, in line with the group's strategy to sell "under-utilised assets for cost savings", it said.

Shao Xing holds seven land use rights and has not started any property development or management business yet. China Jishan added that Shao Xing currently owes Zhejiang Jishan 402.14 million yuan but that debt will be owed to Shanghai Jintumu after the transaction.