Dah Chong Hong Holdings Limited (DCH) is to acquire 80 per cent of Zhejiang Ciji, 100 per cent of Yuyao Ciji, 100 per cent of Ciji Xinghang and 80 per cent of Cixi Chiao.
These are acquisitions of luxury brand dealerships in the Zhejiang province and include two existing Mercedes-Benz dealerships (in Cixi and Ninghai), three authorisations for new Mercedes-Benz dealerships (in Yuyao, Fenghau and Cixi) and one existing Audi dealership (in Cixi) for a total of RMB920,800,000, and approximately HKD1,060,945,760. The deal will be funded by internally-generated cash and bank loans.
DCH, a majority-owned subsidiary of CITIC Limited, is a distributor and dealer of motor vehicles in China with an integrated trading and distribution network operating across Asia in the food, healthcare and consumer goods segments. The company currently distributes 16 motor brands in the PRC with 80 4S shops and 14 showrooms.
