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Global Offering of 400,000,000 Offer Shares

Offer Price Range of HK$2.91 to HK$3.63 Per Offer Share

Introducing Centralcon's Largest Shareholder Mr. Wong Kwong Miu and TCL's Wholly-owned Subsidiary as Cornerstone Investors

  

Investment highlights:

  • Ability to acquire land reserves in strategic locations with abundant natural resources, rich culture and potential for growth; Design and develop diverse residential properties leveraging unique land features
  • Flexible means to acquire desirable project sites
  • Stably growing business and financial performance
  • Quality control and cost efficiency by meticulous project management
  • Experienced and dedicated management team

HONG KONG, CHINA - Media OutReach - 25 November 2019 - JY Grandmark Holdings Limited ("JY Grandmark" or the "Company"; together with its subsidiaries, the "Group", stock code: 2231), a property developer, operator and property management service provider based in the People's Republic of China (the "PRC"), announces today the details of the global offering (the "Global Offering") of its shares (the "Shares") and its proposed listing on the Main Board of The Stock Exchange of Hong Kong Limited (the "Stock Exchange").

A total of 400,000,000 Shares (subject to the Over-allotment Option) (the "Offer Shares") are being offered or sold under the Global Offering, comprising an international placing (the "International Placing") of 360,000,000 Shares (subject to reallocation and the Over-allotment Option) and a Hong Kong public offer of 40,000,000 Shares (subject to reallocation) (the "Hong Kong Public Offer"), representing 90.0% and 10.0%, respectively, of the total number of the Offer Shares. The Over-allotment Option allows the issuance of up to 60,000,000 Shares, representing 15.0% of the Offer Shares.

 

The offer price (the "Offer Price") is expected to be not less than HK$2.91 per Offer Share and not more than HK$3.63 per Offer Share (the "Indicative Offer Price" range). The Shares will be traded in board lots of 1,000 Shares each. The price for one board lot of Shares will be not more than HK$3,666.58 based on the high end of the Indicative Offer Price range (inclusive of brokerage, Stock Exchange trading fee and Securities and Futures Commission transaction levy).

 

The Group has introduced (i) Centralcon Enterprises Company Limited, which is ultimately beneficially owned by Mr. Wong Kwong Miu, the largest shareholder of a Shenzhen-listed property developer Shenzhen Centralcon Investment Holdings Company Limited, and (ii) Plus Incentive Investment Limited, a wholly-owned subsidiary of intelligent technology corporation TCL Industries Holdings Co., Ltd as the cornerstone investors (the "Cornerstone Investors"). Each of the Cornerstone Investors has agreed to subscribe HK$200 million worth of Offer Shares and their shares are subject to a 6-month lock-up period following the listing date.

 

DBS Asia Capital Limited is the Sole Sponsor and Sole Global Coordinator. DBS Asia Capital Limited, ABCI Capital Limited, China Galaxy International Securities (Hong Kong) Co., Limited and Head & Shoulders Securities Limited are the Joint Bookrunners. DBS Asia Capital Limited, ABCI Securities Company Limited, China Galaxy International Securities (Hong Kong) Co., Limited and Head & Shoulders Securities Limited are the Joint Lead Managers. CGS-CIMB Securities (Hong Kong) Limited and GLAM Capital Limited are the Co-lead Managers.

 

The net proceeds from the Global Offering are estimated to be approximately HK$1,220.8 million after deducting the underwriting commissions and other estimated expenses in connection with the Global Offering, assuming an Offer Price of HK$3.27 per Offer Share being the mid-point of the Indicative Offer Price range, and assuming that the Over-allotment Option is not exercised. The Group intends to use the net proceeds for the following purposes:

  • Approximately 60%, or HK$732.5 million, will be used as the development costs for certain projects, namely: JY Gaoligong Town Phases I, II and III in Tengchong of Yunnan province, Zhaoqing International Technology and Innovation Centre (Zone A and Zone B) in Zhaoqing of Guangdong province, JY Grand Garden Phases I, II and III in Qingyuan of Guangdong province and JY Mountain Lake Gulf Phases I and II in Zhuzhou of Hunan province;
  • Approximately 30%, or HK$366.3 million, will be used for acquisition of land parcels in provinces which the Group are currently operating;
  • The remaining amount of approximately HK$122.0 million, representing not more than 10.0% of the net proceeds, will be used for general working capital.

 

JY Grandmark is a property developer, operator and property management service provider based in the PRC, and principally offered residential properties in Guangdong and Hainan provinces during the track record period. It has land resources in Guangdong, Hainan, Yunnan and Hunan provinces for its future development. The Group positions itself as an "Eco-friendly and People-oriented Property Developer" and acquired land reserves in strategic locations with abundant natural resources, rich culture and potential for growth. The Group takes into account the natural and cultural resources of its project site in the design of properties to develop homes and communities that the Group considers to be truly liveable for buyers. This accurate positioning differentiates the Group from other property developers in the PRC. As at 30 September 2019, the Group had a property portfolio of 30 property project phases in 10 locations with an aggregate GFA attributable to it of approximately 3.0 million square meters.

 

JY Grandmark's business consists of four principal segments, including property development and sales, hotel operations, property management and commercial properties investment. The Company's core business is development of residential properties, offering a range of products for purchasers looking for their first home, a home upgrade, second home and vacation home. The Company is expanding its businesses to develop its brand as a "360° Asset and Lifestyle Service Provider" with an aim to provide all-round services for convenient-living to owners of properties that the Company have developed, and plans to expand into development of specialty residential products such as JY Well-being Valley in Lingao, Hainan province, providing leisure and well-being services for residents.

 

To grasp the development opportunities in the real estate market in the PRC, Mr. Chan Sze Ming Michael, the Chairman and an Executive Director of JY Grandmark said, "the Company is committed to becoming a high-quality and high profit "Eco-friendly and People-oriented Property Developer" in the PRC by adopting flexible means to acquire suitable project sites at desirable costs, and developing diverse residential properties leveraging unique land features, and providing quality property management services. The Company believes that the offering of high quality properties which satisfy the demands of target customers is crucial to building its brand image and securing customer loyalty. The Group will continue to improve the quality of its properties and provide its customers with quality properties that offer comfortable and convenient living environment. In addition, The Group will adopt a balanced and systematic approach to achieve sustainable and profitable future growth, thereby maximizing shareholder returns."

 

The Hong Kong Public Offer is expected to commence at 9:00 am on 25 November 2019 (Monday) and is expected to close at 12:00 noon on 28 November 2019 (Thursday). The Offer Price is expected to be announced or published via various channels on 4 December 2019 (Wednesday). Dealings in Shares on the Stock Exchange are expected to commence on 5 December 2019 (Thursday), with 2231 as the stock code.

 

WHITE Application Forms and prospectuses of the Company can be obtained from designated offices of DBS Asia Capital Limited, ABCI Capital Limited, ABCI Securities Company Limited, China Galaxy International Securities (Hong Kong) Co., Limited, Head & Shoulders Securities Limited, CGS-CIMB Securities (Hong Kong) Limited and GLAM Capital Limited or any of the designated branches of DBS Bank (Hong Kong) Limited, Hang Seng Bank Limited, Industrial and Commercial Bank of China (Asia) and The Bank of East Asia, Limited. Applicants may also apply on-line via the designated White Form eIPO service provider at http://www.eipo.com.hk. Applicants can also use the YELLOW Application Forms or give electronic application instructions to Hong Kong Securities Clearing Company Limited to process their applications.

 

 

JY Grandmark Holdings Limited

Financials at a glance

 

Global Offering

 

:

400,000,000 Shares

(subject to the

Over-allotment Option)

Offering Structure

 

- Hong Kong Public Offer

- International Placing

 

 

 

:

:

 

 

40,000,000 Shares(Subject to reallocation)

360,000,000 Shares

(subject to reallocation and

the Over-allotment Option)

 

Over-allotment Option

 

 

:

 

60,000,000 Shares

Suggested Price Offer

:

HK$2.91 - HK$3.63

 

 

 

 

 

Based on Offer Price of

HK$2.91

Based on Offer Price of

HK$3.63

 

 

 

 

Market Capitalisation

:

HK$4,656 million

HK$5,808 million

 

 

 

 

Announcement of Allotment Results

:

4 December 2019 (Wednesday)

 

 

 

Expected Listing Date

:

5 December 2019 (Thursday)

 

 

 

Stock Code

:

2231

 

 

 

No. of Shares per Board Lot

:

1,000

 

 

 

 

The following is a track record summary of JY Grandmark Holdings Limited:

 

 

Year ended 31 December

Six months ended 30 June

2016

2017

2018

2018

2019

(RMB '000)

(RMB '000)

(RMB '000)

(RMB '000)

(Unaudited)

(RMB '000)

 

Revenue

640,675

838,259

1,328,887

124,953

762,404

Profit before income tax

142,503

183,408

539,270

(11,917)

344,602

Profitfor the year/period

84,507

86,078

381,759

(19,128)

181,175

 

This press release is issued by JY GRANDMARK HOLDINGS LIMITED. solely in connection with the Global Offering and the Offer Shares for information purpose only, and does not constitute an offer to sell or a solicitation of an offer to buy any securities in the united states or any Other jurisdiction where such offer, solicitation or saLe would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.. No action has been taken to permit a public offering of the Offer Shares in any jurisdictions other than Hong Kong and no action has been taken to permit the distribution of this press release in any jurisdictions other than Hong Kong. The distribution of this press release and the offering of the Offer Shares in other jurisdictions are subject to restrictions and may not be made except as permitted under the applicable securities laws of such jurisdictions pursuant to registration with or authorization by the relevant securities regulatory authorities or an exemption therefrom.

 

the shares have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws of the United States, and may not be distributed or offered, sold or delivered, as the case may be, in the United States, except pursuant to an effective registration statement or in accordance with an available exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act.  any public offering of securities to be made in the united states will be made by means of a prospectus. Such prospectus will contain detailed information about the company and its management, as well as financial statements.

 

The company has not and does not intend to register the shares under the U.S. Securities Act or make any public offer of the shares in the United States. No copy of this press release (and information contained herein) has been or should be distributed or sent, directly or indirectly, in whole or in part, in or into the United States or any other jurisdiction where to do so would constitute a violation of the relevant laws of such jurisdiction.

 

You are cautioned not to place undue reliance on any forward-looking statements contained herein. We cannot give any assurance that these forward-looking statements will prove to have been correct. These forward-looking statements are not a guarantee of future performance and are subject to certain risks, uncertainties and assumptions. We do not have any obligation to publicly update or revise any forward-looking statements herein, whether as a result of new information, future events or otherwise.

Source http://www.media-outreach.com/release.php/View/21798#Contact