(22 April 2020, Hong Kong) Aoyuan Healthy Life Group Company Limited (“Aoyuan Healthy” or the “Group”; SEHK stock code: 3662), a reputable property management service and commercial property operation service provider in the People’s Republic of China (“PRC”), is pleased to announce that the Group’s wholly-owned subsidiary, Aoyuan Healthy Life (Guangzhou) Group Co., Ltd., has proposed to acquire an 80% interest in Easy Life Smart Community Services Group Co., Ltd. (“Easy Life”; NEEQ (the National Equities Exchange and Quotations) stock code: 837249) for a consideration of RMB247.9 million. The proposed acquisition can further expand the size of the Group’s business, the portfolio of mid-range and high-end properties managed by the Group and its geographical market coverage. This will enable the Group to increase its business presence and competitiveness in the PRC.
Easy Life is one of the leading property management services providers in the PRC. It ranked 38th among China’s Top 100 Property Management Companies in 2019 and has rich experience in managing mid-range to high-end properties. Easy Life is managing 208 property management projects in such places as Beijing, Hebei, Henan, Tianjin, Chongqing, and Sichuan, with a total gross floor area (“GFA”) of approximately 22.63 million square metres (“sq.m.”) under its management. As at 30 June 2019, the unaudited net asset value of Easy Life was approximately RMB294 million. In 2018, Easy Life recorded a turnover of approximately RMB417 million and a net profit before taxation of approximately RMB30.7 million. The strategic acquisition of Easy Life will enable Aoyuan Healthy to expand the portfolio of properties under its management, enter new geographical markets, extend the scope of its business effectively and accelerate the growth in scale of its property management business.
The management of Aoyuan Healthy said, “Aoyuan Healthy has been proactively seeking good opportunities for investment to pursue its business development strategy. Easy Life has a high ranking among China’s Top 100 Property Management Companies. We believe the proposed acquisition has strategic importance and will create synergy between Aoyuan Healthy and Easy Life, sustain the Group’s development and open up more opportunities. Looking ahead, the Group will strengthen its position as a leader in the industry and maximise shareholder value by giving its strengths full play, improving its business presence, and enhancing its brand value and profitability.”
As at 31 December 2019, Aoyuan Healthy provided property management services for 94 properties in 38 cities in 13 provinces, municipalities, and autonomous regions in the PRC with a total GFA under management of approximately 15.1 million sq.m., which included 4.7 million sq.m. added during the year.