China Merchants Shekou sells Taiziwan real estate stake to related party

China Merchants Shekou Industrial Zone Holdings (CMSK) will transfer its entire 100% equity in Taiziwan Commercial Storage and Real Estate Co., Ltd. to China Merchants Energy Shipping Co., Ltd. for 715.518 million yuan. Both companies are controlled by China Merchants Group, making this a related party transaction. The agreement will be paid in three installments.

The valuation of Taiziwan Commercial Storage and Real Estate was based on an asset-based assessment, which concluded the shareholder equity value at 715.518 million yuan as of December 31, 2024. The transaction was approved by the company's independent directors and non-affiliated directors, with associated directors abstaining.

The sale aims to enhance the industrial cluster and economic vitality of the Shenzhen Taiziwan area by introducing China Merchants Energy Shipping, leveraging synergistic effects to attract resources in shipping services and modern logistics.