CHINA NEWCITY (01321) collaborates with Citic Capital to establish a joint venture platform to explore new opportunities in urban renewal and distressed asset investment.

CHINA NEWCITY (01321) announces that on April 2, 2025, the company entered into a non-legally binding cooperation memorandum with Ultra Brilliant Advisory Limited (an indirect non-wholly-owned subsidiary of CITIC Capital Holdings Limited). The memorandum relates to the establishment and joint operation of an investment platform between the group and CITIC Capital's special opportunities investment department, via the establishment of a joint venture company and its subsidiary. The joint platform is expected to actively explore and invest in various qualified investment projects in China, with cornerstone investors introduced by the group and other investors introduced by CITIC Capital's special opportunities investment department. The qualified investment projects will include distressed assets with characteristics such as (a) potentially discounted pricing due to mismatched investment and debt terms, (b) potential for value enhancement through operational improvements, and (c) alignment with urban renewal and national policy directions, with potential exits through various means.