(Hong Kong, 27 November 2017) OP Financial Investments Limited (“OP Financial”, stock code: 1140.HK) along with its subsidiaries (“the Group”), announced its interim results for the six months ended 30 September 2017 (the “Period”) today.
The portfolio of the Group delivered strong growth during the Period. The Group has achieved significant improvement on overall financial performance as compared to the same period last year. Profit for the Period amounted to HK$131.35 million, representing a YoY growth of 507% from HK$21.63 million in the same period last year. Total comprehensive income amounted to HK$159.52 million, representing a YoY growth of 755% from HK$18.66 million in the same period last year. As at 30 September 2017, the Group’s net asset value increased to HK$3.00 billion, which benefited from fair value growth of several investment projects. The NAV per share increased to HK$1.58.
During the Period, OP Financial followed the established strategic layout to promote the two business lines, continued to explore strategic investment on platforms as well as medium to short-term investment opportunity, and achieved outstanding performance. The Company has optimized the portfolio by its capital to capture the promising sectors in internet finance, environmental protection and crossover industry.
In terms of the strategic investment, OP Financial has completed three major projects during the Period. 1) The Company formed OP EBS Fintech Investment L.P. with China Everbright Securities International, through which the Company completed the investment on Wacai Holdings Limited, the leading internet finance company, and established comprehensive strategic partnership. 2) The Company jointly established BE Financial Service (Beijing) Investment Holdings Limited to develop fund management business for PPP projects of Beijing Enterprises Water Group Limited (“BEWG”, stock code: 0371) in relation to water treatment and environmental protection. BEWG is the largest water treatment company in China. 3) The Company setup an investment entity named Henan CCOP New Life Service Limited with Central China Real Estate Ltd (“Central China”, stock code: 0832), which is the largest real estate company in Henan Province. The investment entity aims to provide service to customers of Central China through “Internet +” and the combination between industry and finance.
In terms of the medium to short-term arbitrage business, OP Financial recorded revenue in fixed income through investing in debt instruments and providing financing arrangement to issuers. The Company also successfully captured some investment opportunities in stock market and achieved good returns.
On 16 November 2017, OP Financial entered into subscription agreements with four subscribers, including The People’s Insurance Company (Group) of China Limited. Pursuant to the Subscription Agreements, the Company has conditionally agreed to allot and issue an aggregate of 740,000,000 new Shares to the subscribers. The net proceeds of the Subscription will amount to approximately HK$1.553 billion. It is expected that the Subscription would increase the capital of the Company to capture a rising number of potential investment opportunities. Moreover, by introducing the subscribers as shareholders to the Company and leveraging their industrial experience and substantial capital, the Company may be at a better position to capture market opportunities and enjoy even more cooperative resources.
Zhang Gaobo, Chief Executive Officer of OP Financial, said: “Looking forward, OP Financial will continue enhance the cooperation with leading companies in the industry to jointly discover the extensive business opportunities embedded in ‘cross-border’ and ‘crossover’ investments. Also, the Company will improve its execution capability of integrated investment solutions to capture the medium to short-term investment and enhance the liquidity of assets. We will strive to develop OP Financial as a leading investment platform in Asia and create sustainable value for our shareholders who granted confidence and solid support to the Company all the time.”
Full details of the 2017/2018 interim results have been posted on the designated website of Hong Kong Exchanges and Clearing Limited at www.hkexnews.hk and the corporate website at www.opfin.com.hk.