Guangdong Kanghua Healthcare Secures New Leases for Key Hospitals in Major Connected Deal

The latest announcement is out from Guangdong Kanghua Healthcare Co., Ltd. Class H ( (HK:3689) ).

Guangdong Kanghua Healthcare Group has entered into new 2026 lease agreements to secure continued use of the properties housing Kanghua Hospital and Renkang Hospital for three years from 1 January 2026 to 31 December 2028, following the expiry of the current leases at the end of 2025. Under IFRS 16, these leases will be recognised as right-of-use assets with an estimated aggregate value of about RMB257.3 million, constituting a major and connected transaction that triggers Hong Kong Listing Rules requirements for reporting, announcement, circular issuance and independent shareholders’ approval. The company has appointed an independent financial adviser, will convene an extraordinary general meeting for independent shareholders to vote on the resolutions, and plans to issue a circular with further details, underscoring the governance and regulatory scrutiny applied to related-party leasing arrangements that are critical to its ongoing hospital operations.

The most recent analyst rating on (HK:3689) stock is a Buy with a HK$2.00 price target. To see the full list of analyst forecasts on Guangdong Kanghua Healthcare Co., Ltd. Class H stock, see the HK:3689 Stock Forecast page.

More about Guangdong Kanghua Healthcare Co., Ltd. Class H

Guangdong Kanghua Healthcare Group Co., Ltd. is a PRC-incorporated healthcare services provider that operates hospitals including Kanghua Hospital and Renkang Hospital, focusing on delivering medical and related healthcare services in China. The group relies on leased properties for its core hospital operations, reflecting an asset-light model for its healthcare facilities.

Average Trading Volume: 12,642

Technical Sentiment Signal: Sell

Current Market Cap: HK$652.1M

For a thorough assessment of 3689 stock, go to TipRanks’ Stock Analysis page.