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Rego Interactive Co., Ltd — Capital/Financing Update 2018
May 17, 2018
50588_rns_2018-05-17_850d08f5-8b4e-4fe8-a7e1-4e7b2d3710f6.pdf
Capital/Financing Update
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Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
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(a joint stock limited company incorporated in the People’s Republic of China with limited liability)
(Stock Code: 1065)
ANNOUCEMENT IN RELATION TO SUCCESS IN THE BID FOR A PPP PROJECT FOR THE CONSTRUCTION, UPGRADING AND ANCILLARY PIPE NETWORKING OF THE RURAL SEWAGE TREATMENT PLANTS IN HONGHU CITY
The board ( the “ Board ”) of directors (the “ Directors ”) and all Directors of Tianjin Capital Environmental Protection Group Company Limited (the “ Company ”) warrant that there are no false information, misleading statements or material omissions in this announcement, and accept joint and several responsibilities for the truthfulness, accuracy and completeness of its contents. The Company recently received a successful bidding notice from Hubei Hongda Engineering Consulting Co., Ltd. (湖北宏大工程諮詢有限公司), which confirmed the Company (the consortium leader ) and Tianjin Second Municipal Highway Engineering Co., Ltd. (天津第二市政公路工程有限公司) (a member of the consortium) shall be the successful bidder for the Public-Private Partnership (“ PPP ”) Project for the Construction, Upgrading and Ancillary Pipe Networking of the Rural Sewage Treatment Plants in Honghu City (the “ Project ”). Details are as follows:
I. Basic information of the Project
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Name of the Project: PPP Project for the Construction, Upgrading and Ancillary Pipe Networking of the Rural Sewage Treatment Plants in Honghu City
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Subject of procurement: Full-process works including the upgrading and transformation (including intelligent online monitoring and online monitoring system) and construction, operation maintenance and handover of ancillary pipeline networks (according to project construction requirements, Binhu subdistrict office shall construct a lifting pump station and a sewage treatment plant is not required) and pipeline networks of sewage treatment plants in a total of ten villages and towns (subdistrict
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offices) in Honghu City, including Xintan town, Chahe town, Wanquan town, Fentkou town, Qujiawan town, Caoshi town, Shakou town, Daijiachang town, Xiaogang management area and Binhu subdistrict office; full-process works including the construction , operation maintenance and handover of internal ancillary facilities (including intelligent online monitoring and online monitoring system) and pipeline networks of sewage treatment plants in a total of nine villages, towns and farms (subdistrict offices) in Honghu City, including Fuchang town, Yanwo town, Luoshan town, Dashahu farm, Datonghu farm, Laowan Hui Minority Township, Huangjiakou town, Longkou town and Wulin town.
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Estimated amount of the procurement project: RMB437,769,500.
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Implementation mode of the Project: the successful bidder and the Government Representative shall jointly establish a project company in the proportion of the capital contribution in 90%:10%. The project company shall be responsible for the investment, financing, construction, operation and maintenance of the Project.
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Shareholding percentages of the project company: tentatively, the Government Representative holds 10% of the shares, the Company holds 85% of the shares and Tianjin Second Municipal Highway Engineering Co., Ltd. holds 5% of the shares. As at the date of this announcement, both of the Government Representative and Tianjin Second Municipal Highway Engineering Co., Ltd. are third parties independent of the Company and its connected persons.
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Term of the concession right: the project construction period (including the preparation period) shall be 18 months and the opeation period shall be 28.5 years.
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Bidding price: RMB1.6/tonne (sewage treatment service fees).
II. Internal Division of the Consortium
The Company is responsible for the investment, development and operation management of the Project during the concession period and Tianjin Second Municipal Highway Engineering Co., Ltd. is responsible for the construction of the Project.
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III. Impact on the Company and Risk Warning
Winning the bid for the Project will increase the revenue of the principal operation business of the Company in the future and expand our market share, which will have a positive impact on the future development of the Company. As at the date of this announcement, formal agreement has not yet been entered into for the Project. The terms of the agreement and the impact on the Company remain uncertain. Specific terms are subject to formal agreement. The Project, if materialized, may constitute a disclosable transaction of the Company pursuant to Chapter 14 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “ Listing Rules ”). As the applicable percentage ratios are expected to be more than 5% but less than 25%, the Project, if materialized, is only subject to the reporting and announcement requirements but is exempt from the requirement of shareholders’ approval of the Company. The Company will disclose subsequent development of the Project in accordance with the Listing Rules and the actual circumstances in due course. Investors are advised to pay attention to the investment risks.
By order of the Board Liu Yujun Chairman
Tianjin, the PRC 17 May 2018
As at the date of this announcement, the Board comprises four executive Directors: Mr. Liu Yujun, Mr. Tang Fusheng, Ms. Fu Yana and Ms. Peng Yilin; two non-executive Directors: Mr. Yu Zhongpeng and Mr. Han Wei; and three independent non-executive Directors: Mr. Gao Zongze, Mr. Guo Yongqing and Mr. Wang Xiangfei.
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