China Chengtong Development Group (00217) Subsidiary Enters Lease Asset Transfer Agreement with Haifa Baocheng Financial Leasing

Stock News
01/26

On January 26, 2026, Chengtong Financial Leasing, an indirect wholly-owned subsidiary of the company, entered into a lease asset transfer agreement with the lessee, Haifa Baocheng Financial Leasing Co., Ltd. Under the terms of the lease asset transfer agreement, Chengtong Financial Leasing will purchase the lease assets from the lessee and subsequently lease those same assets back to the lessee.

The lease period is set for approximately 15 months or 24 months, though it may be terminated early according to the specific terms and conditions stipulated in the agreement. Upon fulfillment of the conditions outlined in the lease asset transfer agreement, Chengtong Financial Leasing will acquire the lease assets from the lessee for a total purchase price of RMB 400 million, which is equivalent to approximately HK$444 million.

The lease assets consist of high-voltage electrification cluster equipment, sewage treatment equipment, and high-voltage electrical control equipment, among other items. The Group is primarily engaged in leasing, property development and investment, marine tourism services, and hotel operations, with its leasing business principally conducted through Chengtong Financial Leasing as its main operational focus.

This lease asset transfer arrangement was established in the ordinary and daily course of business for Chengtong Financial Leasing. It is anticipated that Chengtong Financial Leasing will generate income of approximately RMB 15.06 million, equivalent to about HK$16.72 million, representing the lease interest to be received by Chengtong Financial Leasing pursuant to this arrangement.

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