The development of the new city is intended to sell the equity of Shanghai Xingyi Cinema, Hengdian Film and Television intends to jointly acquire

On July 6, Capital State learned that the Development of New City (01030.HK) announced that the company and Changzhou Hengxuan Consulting Management Co., Ltd. ("Changzhou Hengxuan", the company's wholly -owned subsidiary) Signed a memorandum of understanding with the potential buyer Hengdian Film and Television (603103.SH), which is related to the equity of the potential sale of Shanghai Xingyi Cinema Management Co., Ltd. ("target company"). According to the memorandum, the potential buyer, together with its contacts and third -party plans to acquire 100%equity of the target company.

As of now, the target company holds 97.60%of Changzhou Hengxuan, the Shanghai Muwei Investment Partnership (Limited Partnership) holds 1.914%, and the Shanghai Nodu Enterprise Management Consultation Center (limited partnership) holds 0.486%. All parties agreed that the price of 100%equity of the target company will not be less than RMB 3 billion. The potential sale must still be signed by the two parties to sign the formal sale and selling agreement. These formal sales agreements will be signed by the contracting parties on October 8, 2022.

Data show that the target company was established on January 16, 2015, mainly engaged in theater investment management. On December 31, 2021, the target company operated and managed 128 theaters. Potential buyers are mainly engaged in film and television programs investment, production, distribution and related derivatives.

Potential sales represent the market's recognition of the company's incubation assets. If the potential sale is implemented, the company believes that it is the reasonable return of the company's investment and meets the company's long -term investment development strategies.

As of press time, the development of Xincheng fell 4.52%to HK $ 3.38, with the latest market value of HK $ 22 billion.

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