Vanke Overseas Investment Holding Company Limited (Stock Code: 01036) released details of a New Management Services Framework Agreement. The VPHK Parties, comprising Vanke Property (Hong Kong) Company Limited and Vanke Holdings USA LLC, will exclusively engage Vanke Overseas entities (VOI VBC, VOI US, and VOI HK), all wholly owned by Vanke Overseas, to provide management services in real estate projects across Hong Kong, the United States, and the United Kingdom.

According to the announcement, the new agreement takes effect on January 1, 2026 (or upon obtaining Independent Shareholders’ approval, if later), and remains effective until December 31, 2028. Under this agreement, Vanke Overseas will receive a recurring management fee calculated at either 1.25% or 1.8% of invested capital per annum, depending on the market region, plus any additional fees linked to third-party interests in certain projects. The proposed annual caps are set at HK$170 million for each of the relevant periods ending on December 31, 2026, 2027, and 2028.

As Vanke Property (Hong Kong) Company Limited is an indirect subsidiary of China Vanke, the transaction constitutes a continuing connected transaction under the Listing Rules of Hong Kong. One or more applicable percentage ratios under Rule 14.07 exceed 5%, thereby requiring reporting, announcement, and Independent Shareholders’ approval.

An Extraordinary General Meeting (EGM) will be convened to seek Independent Shareholders’ approval on these transactions, while any associate of China Vanke, including Wkland Investments, which holds 75% of Vanke Overseas’ issued share capital, must abstain from voting. An Independent Board Committee comprising all independent non-executive directors will advise Independent Shareholders, and an independent financial adviser has been appointed to provide a separate recommendation. A circular with further details is expected to be dispatched on or before November 19, 2025.