Songcheng to invest US$24 million in subsidiary for Fuzhou project
Songcheng Performing Arts will set up a wholly-owned subsidiary and use it to acquire certain assets of XHA Group to develop a tourism zone in Fuzhou.
Songcheng Performing Arts will invest RMB150 million (approx: US$24.22 million) to set up a wholly-owned subsidiary and use it to acquire certain assets of XHA Group for up to RMB130 million (approx: US$21 million) to develop a Songcheng tourism zone in Fuzhou.
Songcheng announced it will adopt its trademark “theme park + cultural show” model for the Fuzhou project as it expands to the coastal regions, developing China’s only “Maritime Silk Road” themed mega show and creating an original Songcheng tourism zone complete with leisure facilities and the Langlanglang Water Park.
Under the terms agreed by Songcheng and XHA Group, the acquisition will include the land rights to a 87,000 square meters state-owned plot, the theater of Fuzhou City Sanjiangkou Cultural Tourisms project, Langlanglang Water Park and attractions in the surrounding areas.
Songcheng has been speeding up acquisitions and invested in setting up the Soncheng Amusement last year. It also invested in Beijing-based film and media company Desen International Media and set up Songcheng International in Hong Kong as the first move to overseas. Songcheng acquired video website 6.cn and acquired Tibetan folk opera Jiuzhaigou Cultural Productions for RMB87 million (approx: US$14 million).(Translation by David)