TORONTO, Nov. 30 /CNW/ - Kingsway International Holdings Limited (TSX: KIH), an Asian based financial services firm, announced today that its 74% held subsidiary, SW Kingsway Capital Holdings Limited ("KCH") has agreed to sell its 50% interest in the Residence 66 Project (formerly known as the Ocean Express Project), a residential real estate project located near the central business district of the Chaoyang District of Beijing. KCH is listed on the stock exchange of Hong Kong ("SEHK") under stock code "188".
On November 26, 2009, Festival Developments Limited ("Festival"), a wholly-owned subsidiary of KCH, entered into a share purchase agreement ("Purchase Agreement") with Ace Scheme Limited ("ACE"), whereby ACE agreed to purchase Festival's 50% interest in Total Express Investments Limited ("TEIL"). TEIL, an entity jointly owned by KCH and the Marubeni Corporation, holds a 100% interest in the Residence 66 Project. ACE is a private company wholly-owned by Mr. Long Riu Ming a real property investor. As part of the Purchase Agreement, KCH has guaranteed the due performance of Festival's obligations under the Purchase Agreement and Mr. Long has guaranteed the due performance of ACE's obligations under the Purchase Agreement. The total consideration to be paid for the 50% interest in TEIL is approximately US$25 million, which will be paid entirely in cash. The sale is expected to close on or around January 29, 2009.
For more information on this transaction, please see KCH's press release on the SEHK website at http://www.hkexnews.hk/listedco/listconews/sehk/20091130/LTN20091130645.pdf
About Kingsway International Holdings Limited
The Company is listed on the main board of the Toronto Stock Exchange (TSX) under the symbol KIH. The Company and its subsidiaries (the "Group") is a middle tier financial services provider, linking the global investment community with PRC's high growth economy. In addition to engaging in proprietary investment activities, the Group offers a variety of complementary, client focused services through its capital markets and asset management divisions.
Founded in 1990, the Group operates from offices in Hong Kong, Beijing, Shanghai, Shenzhen and Toronto.
Forward-Looking (Safe harbour) Statements
This press release contains forward-looking statements that are based on the beliefs of Management and reflect the Group's current expectations. In certain cases, forward-looking information can be identified by the use of words such as "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may", "should", "will", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, investors should not place undue reliance on forward-looking information. Forward-looking information is provided as of the date of this press release, and the Company assumes no obligation to update or revise them to reflect new events or circumstances.
SOURCE KINGSWAY INTERNATIONAL HOLDINGS LIMITED
For further information: For further information: Gary Quedado, Kingsway Group, (416) 861-3099 Ext. 238, firstname.lastname@example.org