According to the Financial Association on December 13 (Reporter Li Jie), there has been new progress in Kimco Realty Corp's restructuring investment.

On the evening of December 13, Kimco Realty Corp announced the latest progress on the company’s restructuring. The Shanghai Pinqi consortium has officially signed a restructuring investment agreement with Kimco Realty Corp and Chongqing Kimco.

In late November, Kimco confirmed in an announcement that the consortium of Shanghai Pinqi Management Consulting Co., Ltd. and Beijing Tianjiao Lvyuan Real Estate Development Co., Ltd. was selected as the restructuring industrial investors for the company and Chongqing Kimco. Meanwhile, during the execution of the restructuring plan, Kimco will conduct a capital reserve conversion to stocks to bring in restructuring investors, repay debts, or for other purposes.

This announcement confirms that the industrial and financial investors introduced by Kimco will together pay an investment of 2.628 billion yuan and acquire 3 billion shares of the symbol. Among them, industrial investors will pay a total of 0.756 billion yuan and acquire 1.2 billion shares; financial investors will pay a total of 1.872 billion yuan and acquire 1.8 billion shares; and each commits not to transfer, reduce shareholding, or entrust others to manage the shares they hold from the date of symbol share registration to the designated account within thirty-six months and twelve months respectively.

Regarding the source of investment funds, the subscribed funds of industrial investors come from their own or self-raised funds; at the same time, they are fully responsible for raising funds for the financial investment part and bear the bottom-line responsibility.

It is worth mentioning that in addition to the investment funds, the Shanghai Pinqi consortium has promised to provide an additional loan of no less than 0.75 billion yuan to supplement Kimco's working capital and invest in new projects.

From this perspective, the restructured Kimco will gain an infusion of over 3.3 billion yuan in working capital.

Regarding the specific investment plan, the Shanghai Pinqi Consortium, as the main industrial investor in the restructuring of Kimco Realty Corp, will organize to determine industrial investors and financial investors to participate in the investment together.

The announcement also clearly defined the payment progress of the investment funds: the first phase performance bond of 0.7884 billion yuan must be fully paid within twenty working days after the signing of the agreement, with both industrial investors and financial investors paying 30% of their respective investments; the second phase performance bond of 0.55188 billion yuan will be paid within ten working days after the Chongqing No. 5 Intermediate People's Court approves the restructuring plan of Jinke Property Group, accounting for 21% of the investment amount; within sixty days after the restructuring plan is approved, industrial investors and financial investors must pay the remaining investment amount, totaling 1.28772 billion yuan.

Public information shows that the leading industrial investor, Shanghai Pinqi, is a wholly-owned subsidiary of Peking Pinqi Management Consulting Co., Ltd. (hereinafter referred to as 'Peking Pinqi').

Peking Pinqi is an asset management institution focused on the health and wellness real estate sector, founded by Feng Lun and others. Former CM BANK president Ma Weihua serves as the honorary chairman, while Feng Lun serves as the chairman. Zhang Yong, Wang Qian, Shan Dawei, and Zhang Dongdong are founding partners committed to creating the most valuable health spaces through technological empowerment and mechanism innovation. Since its establishment, it has gradually formed three main sectors: 'Medical Health Industrial Park', 'Health Living Center', and 'Health Residence', as well as two major business platforms: 'Thick Health Medical' and 'Yuan Da Good Building', along with an industry event 'China Real Estate Conference'.

The member of the restructuring consortium, Beijing Tianjiao Lvyuan, was established in 2018, relying on its diverse capital structure and strong financial support to actively explore the transformation of real estate business from the traditional model of 'high debt, high leverage, high turnover' to a 'dual focus on light and heavy'.

However, the specific list of financial investors has not been mentioned in the announcement.

According to Kimco Realty Corp, the main business of the restructured Jinke Property Group will focus on four main sectors: 'Investment Management, Development Services, Operation Management, and Special Assets', through investing and operating special assets, operating and developing mid-to-high-end residences, strengthening real estate services, and innovatively developing industry opportunities, implementing a transformation path of 'eliminating the old, adopting the new, strengthening the chain and supplementing the chain'.

Data disclosed by Kimco Realty Corp shows that the company's revenue in the third quarter of this year was 5.519 billion yuan, a year-on-year decrease of 67.51%; the net income attributable to shareholders of the listed company was -1.531 billion yuan, a year-on-year decrease of 271.54%. As of the end of the third quarter of this year, Kimco Realty Corp's total assets were approximately 200.138 billion yuan, a decrease of 10.74% compared to the end of 2023; non-current liabilities due within one year were approximately 48.419 billion yuan, a year-on-year increase of 51.57%.