STOCKS | Yung Kong International To Sell Hong Kong Student Hostel For Up To HK$539 Million

Yung Kong International (01218) said its wholly owned subsidiary Yuheng Property Holdings has signed an agreement to sell the entire issued share capital of Success Active Limited to Quantum Living Accommodation Limited for a total consideration of HK$529 million, with the maximum consideration not exceeding HK$539 million. The target asset is land and buildings at 470, 472, 474, 476 and 478 Chatham Road North in Kowloon, Hong Kong, mainly a student hostel known as Sen Li. The company said the sale would allow it to monetise the property at a price close to its valuation, improve liquidity and provide additional cash for general working capital and future business opportunities, according to ETNet.