Weifang (PR China), 30 December 2013
- Re-organization of Euro-Asia in Shandong substantially completed
Euro Asia Premier Real Estate Company Limited (JT9; ISIN: VGG3223A1057) today announces its unaudited financial results for the 6 months period ended June 30th, 2013.
- Revenues for the 6 month period under review were NIL, as compared to RMB¥ 4.62 million (approx. Euro € .55 million1) for the first six months of 2012. Revenues in 2012 were generated through the sale of phase I of the China Agricultural Machinery Marketing Centre project and from residual rental properties not yet disposed.
- The lack of revenue was the result of the re-organization in the company with the anticipated disposal all the Weifang assets at book value of approximately RMB¥ 110 million (€ 13.17 million) to SNI in the second half of the year as reported in our news release of 14 August, 2013. The Company intends to re-invest the net proceed from the sale into profitable real estate projects in other regions of Shandong along the coastal regions.
- The Company met all of it’s financial obligations by it’s cash resources and where necessary by directors’ loans.
- Loss before interest, taxes, depreciation and amortization (EBITDA) for the six months under review was approximately RMB¥ -2.5 Million (Euro € -299,000), as compared to a negative EBITDA of RMB¥ -830,000 (Euro € -99,000) recorded for the first six months of 2012.
- As of 30 June, 2013 the company had net assets value of RMB¥ 284 million (€ 33.99 million), consisting of RMB¥ 109 million (€ 13.0 million) in non-current assets and a net liquidity of RMB¥ 175 million (€ 20.95 million) in cash and receivables.
Update on operations and re-organization Close Brothers Seydler Bank AG is appointed new listing partner and designated sponsor of Euro Asia starting on 1 January 2014. Together with Close Brothers, we intend to review our capital expenditure program and capital market strategy.
On 23 December 2013, Euro Asia announced the resignation of three members of the Board of Directors with immediate effect. The new Board of Directors will seek confirmation of its appointment at the upcoming AGM, to be held on March 7, 2014, where Board and management will present audited 2012 results together with the details of our capital expenditure program. The new Board will hold its initial meeting on 16 January 2014, when the audited financial statements for fiscal year 2012 shall be confirmed. Publication of the financial statements is scheduled for 16 January 2014.
The details of the financial information, resolutions and agenda of the AGM will be posted on the Company’s website at www.eu-asia.net along with eligibility to attend meeting.
Exchange rate as of 29 June 2013:
1) € 1 = RMB¥ 8.355
Schwarz Financial Communication
Tel: +49 611 1745 398 11
About Euro Asia
Euro Asia is a BVI registered company, active in real estate development in the Shandong area of the People’s Republic of China. The Company operates locally through its subsidiaries, jointly owned with SNI, a leading local development company. Generating leasing revenues from a number of commercial properties, the Company has a number of other projects under development. By utilizing its strong local network to banks, political decision makers, land owners and other developers, the Company intends to grow its position in the region prior to moving into other prefecture-level cities.