Home / Knowledge / News / Apparel/Garments / Toyota Tsusho to export apparel products to Hong Kong
Toyota Tsusho to export apparel products to Hong Kong
02
Mar '09
Team China, a wholly-owned subsidiary of the Symphony Holdings Limited, entered into a Joint Venture Agreement with Toyota Tsusho for the establishment of a Joint Venture Company, JFT Holdings relating to the distribution and retailing of well-known brands which are mainly originated from Japan, Europe and the United States of America in the Greater China. Since the Company's total contribution to the Joint Venture Company is HK$42,000,000.00 and the applicable percentage ratio exceeds 5% but is less than 25%, the formation of the Joint Venture Company constitutes a discloseable transaction for the Company under Rule 14.06(2) of the Listing Rules.

The Joint Venture Agreement - Team China, a wholly-owned subsidiary of the Company, entered into a Joint Venture Agreement with Toyota Tsusho pursuant to which the parties agreed to establish a Joint Venture Company relating to the distribution and retailing of apparel and accessories under certain brands which are originated from Japan, Europe and the United States of America in the Greater China. The principal terms of the Joint Venture Agreement are set out below:

Parties : 1. Team China;
2. Toyota Tsusho;
3. Joint Venture Company; and
4. Company

Formation of the Joint Venture Company : Team China, a subsidiary of the Company, and Toyota Tsusho, a member of the Toyota Motor Corporation, will set up the
Joint Venture Company.

Shareholdings in the Joint Venture Company : The Joint Venture Company has an authorised share capital of HK$10,000.00 divided into 10,000 ordinary shares of HK$1.00 each, of which 10,000 shares have been issued and were, as of the date of the Joint Venture Agreement, wholly and beneficially held by Team China. Team China will transfer 50% of its issued shares at par value within 10 Business Days from the date of the Joint Venture Agreement so that the shareholding of Team China and Toyota Tsusho shall be 50% and 50% respectively.

Name of the Joint Venture Company: JTF Holdings

Total Investment Amount : The total investment amount of the Joint Venture Company shall be HK$84,000,000.00, which will be contributed by each of Team China and Toyota Tsusho based on their respective shareholding in the Joint Venture Company. 50% of such funds shall be injected by each of Team China and Toyota Tsusho pro rata to their shareholdings within 1 month from the date of the Joint Venture Agreement and the remaining 50% of the funds will be injected into the Joint Venture Company on request by the board of directors of the Joint Venture Company made within 4 months from the date of the Joint Venture Agreement.

The total investment amount was determined pursuant to arm's length negotiations between Team China and Toyota Tsusho based on their perception of the funding requirements of the Joint Venture Company.

Scope of Business of the Joint Venture Company : Distribution and retailing of apparel and accessoriesunder certain brands which are originated from Japan, Europe and the United States of America in the Greater China.

Further Funding : Each of Team China and Toyota Tsusho agreed that further funding by means of advances and credit from banks and/or financial institutions and/or similar sources and /or shareholder's loans in an amount not exceeding HK$76,000,000.00 may be sought after the expiry of four months from the date of the Joint Venture Agreement and within 2 years from the date of the Joint Venture Agreement.


Must ReadView All

Indian govt relaxes cabotage rule for cotton transport

Textiles | On 25th May 2018

Indian govt relaxes cabotage rule for cotton transport

The Government of India has relaxed cabotage rules for transportation ...

Courtesy: Teejay Lanka

Textiles | On 25th May 2018

Teejay Lanka doubles production capacity at Indian mill

Teejay Lanka, one of Sri Lanka’s largest textile manufacturers, has...

Courtesy: Messe Frankfurt/Yarn Expo Autumn edition

Textiles | On 25th May 2018

Yarn Expo Autumn 2018 scheduled earlier

Over 500 exhibitors are expected at the Yarn Expo Autumn 2018, being...

Interviews View All

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


May 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search