The Company and its subsidiaries (The "Group") announced interim results for the six months ended 30 June, 2007. The net profit was HKD302,278 (2006: the loss of HKD2,543,562). The net asset value per share of the Group was HKD0.294 (2006: HKD0.309). The Board does not recommend the payment of an interim dividend for the six months ended 30 June 2007.
The Group invested in China Property Development (Holdings) Limited ("CPDH") in 2002. CPDH holds 100% interest in a Beijing residential development project, the Pacific Town Project (marketed as Richmond Park in Beijing). The Group"s profit sharing ratio in CPDH is 33.42%. Towards the last quarter of 2007, the Project will complete units of 3 blocks of about GFA 51,000 square meters.
In October 2005, the Company subscribed 3,954,000 shares of China Construction Bank Corporation. The Company has disposed the remaining 1,000,000 shares of China Construction Bank Corporation during the period under review. The disposal produced a gain of approximately HKD2,450,000 to the Group. The Group has also disposed the remaining 2,190,000 shares of Skyworth Digital Company Limited in March and April 2007. The disposal produced a gain of approximately HKD252,000 to the Group.
In December 2006, the Group entered into agreement to establish China Eco-hotel Investments Limited ("China Eco-hotel") to invest in Anyi (Sichuan) Hotel Development Company Limited ("Anyi"). Anyi is a cooperative joint venture of China Eco-hotel with Sichuan Mishan Investment Limited ("Mishan") to operate and manage economic hotel business in China. Mishan is one of the leading hotel investment and hotel management companies in Chengdu, China, it will provide experience and professional management to the joint venture. Mishan currently operate 4 economy hotels in Chengdu under the "Anyi 158" brand. The new joint venture is to expand the Anyi network to other cities in the South West region. The government approval and the business license of the joint venture company had been obtained in March 2007.
