Central Luck Developments Limited entered into the Sale and Purchase Agreement to acquire True Hope Group Limited from Synergis Holdings Limited (SEHK:2340) for approximately HKD 540 million on November 26, 2021. As on November 26, 2021, True Hope Group Limited reported profit after tax of 18.782 million, net assets of HKD 85.3 million and profit after tax of HKD 22.188 million.

The net proceeds from the Disposal of approximately HKD 532 million (after deducting expenses and related taxes) is intended to be used as follows: approximately HKD 180 million, representing approximately 33.8% of the net proceeds, will be used for the purchase of surety bonds or as cash deposits to fulfil funding and/or tendering requirements for potential and existing construction projects underlying the ISP Business. This can help increase the number and/or scale of tenders which the Remaining Group may participate in; approximately HKD 17 million, representing approximately 3.2% of the net proceeds, will be used for recruiting additional employees after Completion to support the development and expansion of the Remaining Group, as well as to replace certain staff for back office and support functions (which were historically shared between the PFM and the ISP business divisions) following Completion; approximately HKD 300 million, representing approximately 56.4% of the net proceeds, will be used for payment of the Special Dividend; and approximately HKD 35 million, representing approximately 6.6% of the net proceeds, will be used for general working capital of the Company. Long stop date is March 31, 2022.

Central Luck Developments Limited completed the acquisition of True Hope Group Limited from Synergis Holdings Limited (SEHK:2340) on January 10, 2022.