Jan. 19, 2012 (China Knowledge) - Evergrande Real Estate Group Ltd<3333>, a Chinese property giant, has agreed to spend US$162 million or HK$1.26 billion to acquire a 40% stake in Success Will Group, which is developing a villa project, named Royal Scenic Peninsula, in Guangzhou
Upon the completion of the acquisition, Evergrande Real Estate will hold entire equities of Success Will Group, the contractor and seller of the high-end property project owned by Pearl River Investment Co.
The project, which covers a land area of 544,000 square meters, is designed to have a floor area of around 1.08 million sq m. A person familiar with the matter said that the high-rise residential buildings, villas, a five-star hotel and a large-scale indoor sports complex will be built in the mixed-use project.
As of June 30, 2011, Success Will Group had RMB 1.58 billion in net asset. Hong Kong-listed
Evergrande Real Estate, which saw sales revenue for 2011 surge 59.4% year on year to RMB 80.39 billion, targets around RMB 80 billion-sales revenue for 2012.