CWG acquires 70% stake in Chinese landowner for 107.7m yuan

CWG International said on Tuesday its wholly owned subsidiary, Suzhou Chiway Real Estate Co, has acquired 70 per cent of equity interest in Xuancheng Xinkaiyuan Real Estate Development Co from Huzhou Yihua Textile Co and Huzhou Yifa Textile Products Co for 107.73 million yuan (S$21.9 million).

The target company owns a parcel of land at Linhai Road, Xuancheng Economic Development Zone, Anhui province, for residential development.

This land covers an area of 61,718 sq m with a plot ratio of 1.5. The estimated maximum gross floor area is 92,572 sq m. The company expects to launch the project in December 2017 and deliver it in January 2019.

The consideration was wholly satisfied in cash and funded from the group's internal resources.