[Caihua News] Kaisheng Holdings (00102.HK) announced that the Group will be officially included in the MSCI Hong Kong Micro share Index. This will help enhance the Group's credibility among institutional investors in the gaming industry. The adjustment will take effect after the market closes on May 27, 2021.

Kaisheng is a subsidiary of Sun City Group Holdings (01383.HK). Sun City now owns about 70% of Kaisheng, so Sun City will do its best to assist Kaisheng in upgrading its business. Kaisheng owns about 77.5 of the Crystal Tiger Palace, the largest gaming integrated resort in the coastal entertainment district of Russia. Despite the challenging business environment, Crystal Tiger Palace's adjusted EBITDA has become regular in the second half of the year, with midfield and slot machine business returning to 81 per cent and 90 per cent of pre-epidemic levels, respectively.

The second phase of the Crystal Tiger Palace is expected to open in 2023, when the number of gaming facilities will be tripled and the number of hotel rooms will be tripled.

In addition, Kaiser has also diversified its business into the Philippines, another fast-growing Asian gaming region, and has invested in convertible bonds issued by SuntrustHomeDevelopers,Inc.Inc. ("SunTrust"), a 51 per cent subsidiary of Sun City, giving it the option to become a shareholder in SunTrust on the date of harvest of the WestsideCity project in the Philippines.

Lu Yanyi, vice chairman and executive director of Kaisheng Holdings, is very excited about Kaisheng being included in the MSCI index. This is not only the affirmation of the group by the capital market, but also the recognition of the development strategy of the group.