HUNLICAR GROUP (03638) to Acquire 65% Stake in Chengtou China Wealth Management Limited for HK$20 Million

Stock News08-20

HUNLICAR GROUP (03638) announced that on August 20, 2025 (after trading hours), the buyer (Greatness Aim Limited, an indirect wholly-owned subsidiary of the company) entered into a sale and purchase agreement with the seller (PSPB (2013) Investment Limited) and the seller's guarantor. Under the agreement, the buyer has conditionally agreed to acquire 65% of all issued shares in Chengtou China Wealth Management Limited (the target company) for a consideration of HK$20 million.

The target company, Chengtou China Wealth Management Limited, is a licensed moneylender in Hong Kong primarily engaged in lending and debt collection businesses. As of the date of the sale and purchase agreement, the seller is the legal and beneficial owner of the sale shares.

The acquisition will enable the group to expand and diversify its customer base and further consolidate its market position in the financial services industry. Through leveraging operational synergies and economies of scale, the enlarged group is expected to enhance cost efficiency and profitability by sharing infrastructure and resources.

The acquisition also brings strategic benefits to the group, including market entry opportunities and enhanced compliance capabilities. In response to the acquisition, the group expects to expand the enlarged group's revenue base and create synergies and new opportunities between the lending business and its existing financial services operations.

With its substantial loan portfolio, the target company is well-positioned for growth. Its reliable track record demonstrates that the target company's profitability can provide stable income and create significant growth for the group.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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