Fantasia Acquires Land in Shekou, Shenzhen,Further Strenthens Strategic Land Bank Position in Pearl River Delta

June 29, 2011, Hong Kong - Fantasia Holdings Group Co., Limited (“Fantasia” or “the Company”, HKSE stock code 1777) announced that the Company successfully acquired all equity interests in TCL Shenzhen, for a total consideration of RMB 315.5 million.  Upon the acquisition, Fantasia will hold three plots of land together with the five buildings erected on it in Shekou, Shenzhen.  This acquisition also covers the acquisition of TCL Shenzhen’s net assets valued no less than RMB 123.4 million.  The total site area and gross floor area of this acquisition are approximately 17,990.6 square meters and 39,586.8 square meters, respectively.  The land cost, including the related cost, of planned floor area is approximately RMB 7,000 per square meter.  The completion of this acquisition will bring the Company’s total land bank to approximately 13.92 million square meters.


The newly acquired three parcels of land are located at the intersection of Nanhai Road and Gongye No. 6 Road in Shekou, a premium location with convenient access to transportation.  In the future, there will also be a subway running through this area which will bring huge development potential and investment returns.  Regarded as the pioneer city in China’s reform to open its doors, Shekou has developed into a modern and international city over the past three decades.  With suppor from the national planning scheme and billions of fund injection from state-owned-enterprises over the next few years, Shekou will gradually experience an urban renewal and quickly see an industrial transformation to become a leading industrial base, with the support of comprehensive service provider in China.


Mr. Pan Jun, the Chairman and Chief Executive Officer of the Company commented, “Shenzhen is the birthplace of Fantasia.  I am delighted with this acquisition opportunity in Shenzhen, where land is a scarce resource. The acquisition will further strengthen our long-term strategic land bank and better position ourselves for future developments.”  Pan added, “After the acquisition, Fantasia will conduct a renovation exercise to enhance the project quality for rental or operational purposes.  We are confident that with our deep understanding of our customer needs, Fantasia will successfully replicate our methodology from Shenzhen Meinian Plaza into this Shekou project.”