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YCH Group, Forchn Holdings sign accord on 3 strategic initiatives
SUPPLY chain management company YCH Group and e-commerce logistics services firm Forchn Holdings announced on Tuesday the signing of a landmark framework agreement on three strategic initiatives in Hangzhou, China.
The first of these initiatives will see for consideration an acquisition portfolio of 13 YCH logistics real estate assets worth about S$400 million for Singapore-listed EC World Reit, of which Forchn is a sponsor.
The portfolio in consideration also has a gross floor area of 280,000 square metres.
"Upon successful acquisition, YCH would continue to lease and operate the assets, and Forchn would transfer to YCH a significant stake with board representation in the manager of EC World Reit," the companies said in a joint statement on Tuesday.
The second agreement will see the formal launch of the US$150 million Forchn-YCH Belt Road Initiative (BRI) Logistics Real Estate Private Equity Fund in the second half of 2018. The two companies had previously signed a memorandum of understanding to explore the joint launch for the fund in March 2018.
The third of these agreements will see YCH and Forchn leverage each other's competencies to capture opportunities in South-east Asia, the companies said.