Black Peony, Sunshine City to start property project in Changzhou

Published: 11 Oct 2009 22:47:52 PST

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Oct. 12, 2009 (China Knowledge) - Black Peony (Group) Co Ltd<600510> and Sunshine City Group Co Ltd<000671> have released a joint notice that they plan to develop a 1,180-Mu commercial property project in Changzhou, Jiangsu Province, sources reported.

According to the letter of intent the two partners signed on Sep. 30, they will set up a joint venture with a registered capital of about RMB 200 million. The Shanghai-listed enterprise will hold a 51% stake in the JV and the Shenzhen-listed firm will hold the remaining 49%. Sunshine City will provide funding for construction and operations.

Reportedly, Black Peony posted RMB 194.73 million in net profit for the first half of this year, whereas it recorded RMB 16.48 million in losses a year earlier. As of the end of June, the firm's total assets were RMB 7.1 billion, up from RMB 5.95 billion a year earlier.