DETAI NEWENERGY (00559) has announced that on 21 August 2026, the seller, the company (as purchaser), and the target company entered into a memorandum of understanding. Under the terms, the seller intends to dispose of, while the company intends to acquire, the sale shares and sale loans for a total consideration of HK$505 million, subject to the terms of a formal sale and purchase agreement to be executed by the parties. The company is not obligated to purchase any of the sale shares or sale loans unless the transactions for all sale shares and sale loans are completed simultaneously.

The target company is principally engaged in investment holding, while the target group's core business involves operating a hotel, which serves as its primary asset. The hotel is a four-star property in Macau, offering 441 well-appointed and elegantly furnished guest rooms. It commenced operations in 1997 and underwent a full renovation in 2005.

Through the acquisition of the target group, the company will establish a year-round urban hotel business in Macau, one of Asia's leading travel destinations, complementing its existing hotel operations in Niseko, Japan. Additionally, the integration of the target group is expected to generate synergies for the enlarged group, including revenue diversification, cross-promotion opportunities, operational enhancements, and resource reallocation.

The proposed acquisition provides the group with a stable, income-generating asset that boasts a solid track record of profitability.