Easyknit Weighs Stake in HK$940 Million Kowloon Student Hostel Project

Easyknit International Holdings Ltd ( (HK:1218) ) has issued an update.

Easyknit International Holdings has signed a non-legally binding memorandum of understanding to potentially acquire a 10% to 20% equity stake in a British Virgin Islands-incorporated property developer. The target’s key asset is a planned student hostel project at Nos. 646, 648 and 648A Castle Peak Road in Kowloon, with an estimated value of about HK$940 million.

The vendor is an indirect wholly owned subsidiary of Asset Chain, in which Easyknit and its subsidiaries already hold shares and convertible notes that could raise its stake to a majority position upon full conversion. If completed, the transaction may constitute a notifiable transaction under Hong Kong listing rules and would further deepen Easyknit’s exposure to property development, particularly in the niche student accommodation segment in Hong Kong.

The most recent analyst rating on (HK:1218) stock is a Hold with a HK$3.00 price target. To see the full list of analyst forecasts on Easyknit International Holdings Ltd stock, see the HK:1218 Stock Forecast page.

More about Easyknit International Holdings Ltd

Easyknit International Holdings Limited is a Hong Kong-listed investment holding company with interests spanning property-related assets and securities. The group holds equity and convertible notes in Asset Chain, positioning it to become a potential controlling shareholder, and continues to focus on property development and associated investment opportunities in Hong Kong and beyond.

Average Trading Volume: 16,127

Technical Sentiment Signal: Buy

Current Market Cap: HK$230.1M

Learn more about 1218 stock on TipRanks’ Stock Analysis page.