China Credit (00899.HK) announced that it paid a deposit of 0.2 billion RMB in 2017 to purchase the office property and underground parking lot of the third phase project in Beijing International Port Exhibition Hall. However, the development speed of the mentioned property has been slowing down, and there is concern that the seller may not be able to complete the construction and delivery of the Beijing property as per the agreed timeline.

The seller proposed to transfer its holding of 10 properties and 106 parking spaces to the company, along with an additional cash compensation of 8 million RMB. The company stated that it has only received the transfer of 4 properties. The company has instructed Chinese lawyers to take legal action to request the seller to transfer the aforementioned 4 properties and to pay for damages and compensation.

Performance measures will be taken, and legal requirements will be issued to the seller to request the transfer of 2 properties and 106 parking spaces, as well as to pay for damages and compensation. The company stated that in the current unfavorable market environment, especially in the mainland property market, the company's primary task is to secure its assets as much as possible.