Shui On Land forms Pudong New Area joint venture for major redevelopment

Shui On Land Limited announced a major transaction involving the formation of a joint venture for a property redevelopment project in Xilin Village, Sanlin Town, Pudong New Area, Shanghai. The company’s subsidiary, Shanghai Shui On Urban Renewal, entered into a Shareholders' Agreement on 19 November 2025 with Shanghai Lujiazui, Shanghai Pudong Real Estate, and Shanghai Sanlin. The JV company, established on 24 November 2025, will be owned 40% by Shanghai Lujiazui, 39% by Shanghai Shui On Urban Renewal, 11% by Shanghai Pudong Real Estate, and 10% by Shanghai Sanlin, resulting in the company having an effective interest of 13.26%.

The JV company’s registered capital is RMB2,320 million, with a total Capital Commitment of approximately RMB9,162 million, of which Shanghai Shui On Urban Renewal will contribute RMB3,573 million. The company’s effective funding commitment will be approximately RMB1,215 million. The project is expected to have an overall development cycle of approximately 9 years, from 2026 to 2034, with revenue generation anticipated from the latter part of 2027.

The transaction is classified as a major transaction under Chapter 14 of the Listing Rules due to the Capital Commitment exceeding 25% but less than 100% of the applicable percentage ratios. Shareholders' approval was obtained via written consent from a closely allied group of shareholders holding over 50% of voting rights, negating the need for a general meeting.