3 months put 14 units STX: high cash

759 Alcatel-Lucent parent CEC International Holdings (00759), sold 14 residential units over the past three months, cash of 62.61 million yuan. Lin Wei Chun, chairman of the response, is now at a very high level, decided to reduce pounds cash.

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The 14 units mentioned above, which are held through subsidiary Grace Lines Co Ltd, are located in Tak Bo Garden (6 units), Amoy Gardens (4 units) and Ka Wo Park (4 units) in Ngau Tau Kok. The sale price is from $ 3.85M to 5.08 million yuan range, most units purchased in 2005 to 2010.

The properties for sale include Unit 3, Lower Block D, Amoy Gardens, with a usable floor area of ​​375 square feet. Lin purchased $ 1.15 million in 2006 and sold out 4.95 million yuan in October this year. Its book profit was $ 3.8 million, SELL the most profitable unit. The above 14 units total cash of 62.61 million yuan, compared with the purchase price of 21.8188 million yuan, book profit of about 40.79 million yuan, the appreciation of about 1.9 times.

In addition, the company originally held 10 sets of the Treasure Garden units and has now sold 6 of them, including Block E, Block 2 with an area of ​​282 sq. Ft., Last month’s transaction price was $ 4.18 million at a price of $ 14,823 per sq m, The purchase price of 1.5 million yuan, up 2.68 million yuan, an increase of 1.8 times. The same type of Block G high-rise 2 rooms, the cost of this year reached 4.36 million yuan, the other banks on the unit valuation of about 4.33 million yuan. In contrast, we can see the Group selling price is not very aggressive.

Lam Wai Chun: property prices have been at a very high level

Lam Wai Chun replied that during the period from 2005 to 2006, see the steady fluctuations in property prices are not large, so the extra funds put into brick to rent, never thought such a thin flat property prices, can rise to 4000000, 5000000 yuan . As the property prices are already at a very high level, we have sold a lot of rented homes. There are still 5 or 6 to be put up for sale. However, some units will be kept for staff quarters and the industrial properties for own use will not be sold.

Data show that CEC International announced its annual results in July this year, the annual loss of nearly 50 million yuan.

When asked if cashing would reduce the liabilities of the group, he reiterated that the group’s business volume was in the hundreds of millions of dollars and cashing in the tens of millions of yuan would have little effect on debt relief. And he is not a professional property market investors, high cash to cash, in terms of industrial companies, is a reasonable decision.

Together with the underground unit at Cheng Yun Industrial Building in Kwun Tong which was sold for $ 52 million in September this year, CEC International has already generated approximately $ 115 million in cash by selling properties this year.