ASX-listed Chinese developer Boyuan Holdings has sold a major development project in China so it can focus on the Australian market.

CEO Caden Wan said proceeds from the 85 million RMB (approx. AUD$16.1 million) sale will be used to finance Boyuan’s growing operations in Australia.

The residential and commercial mixed-use development in the Jiaxing, Zhejiang Province in China has been the Group’s main driver of the business to date. The Jiaxing Project was developed over two phases and includes 758 units with overall floorage of 120,000 sqm.The transaction will also see the repayment of a 130 million RMB receivable (approx. AUD$24.6 million) owed to Boyuan from Hong Kong Jiayuan Investments Limited.

“As we have previously indicated publicly, BHL’s focus is now on the Australian property market and the completion of Jiaxing project means that the Group will no longer undertake any developments in China,” Wan said.“The proceeds from the sale will be deployed to BHL’s operations in Australia and provide us with additional capital and financial flexibility to be utilised in the local market.

“BHL is firmly focused on Australia and having made good progress with our local property developments, we will be pro-actively pursuing attractive opportunities in other sectors, which will diversify our investment portfolio and grow our asset base for the company and our shareholders,” he added.

Earlier this month, Boyuan acquired the Peachtree Hotel in Penrith in western Sydney for $16 million.

Australian Property Journal

https://www.api.org.au/news/boyuan-sells-china-development-focus-aus