Summary by Futu AI
Capital realm announced on July 31, 2024 that it has signed a memorandum of understanding with Xinghua Economic Development Co., Ltd. (Xinghua Development) and the two parties intend to carry out strategic cooperation, including industrial planning, recommending potential projects, enhancing professional capabilities, and leveraging international resources to achieve diversified development. Xinghua Development is a state-owned enterprise mainly responsible for investment and financing, development, and construction. Its registered capital is 0.28 billion RMB, and it had assets of 16.57 billion RMB by the end of 2023. The memorandum of understanding is valid for three years, but does not impose legal binding obligation on both parties and will automatically terminate if a concrete project contract is not signed within one year. The board of directors stated that this cooperation is in line with the company's long-term development goals. It may bring potential profit growth to both parties, but it also emphasizes that the cooperation may or may not happen, so shareholders and investors should act with caution.