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Tag: Shimao Services Holdings Limited

  • Entering the Commercial Property Management Subdivision Sector, Shimao Services Acquires Commercial Property Management Services-related Businesses

    Entering the Commercial Property Management Subdivision Sector, Shimao Services Acquires Commercial Property Management Services-related Businesses

    Shimao Services Holdings Limited (Shimao Services or the Company; HKG: 873) announced that the Company has conditionally agreed to acquire the property management services business and related value-added services being carried out by Shanghai Shimao in the PRC (the “Acquisition”). Upon the completion of the Acquisition, Shimao Services will enter into market segments such as commercial property management as well as facilities and equipment management.

    As a leading comprehensive property management and community living service provider in the PRC, the Acquisition will be complementary to the Company’s existing operation and business layout, consolidate its existing advantageous position, generate synergies, accelerate the Company’s development, and create greater value.

    The projects secured through the Acquisition are located in tier-1 and key tier-2 cities, which have numerous urban landmark projects with excellent branding effects. This will significantly facilitate the business expansion in the markets of the Company. Meanwhile, the customers of the subject commercial projects under management are high-end users, which has created the potential for further business exploration for the Company.

    The Target Business is the property management services business and related value-added services being carried out by Shanghai Shimao in the PRC through Shimao Property Management Co., Ltd., a wholly-owned subsidiary of Shanghai Shimao and 29 other subsidiaries. It comprises the provision of property management services for commercial/residential and other properties (including but limited to commercial complexes, governmental and public facilities), value-added services to non-property owners and community value-added services in the PRC. As of 30 June 2021, the Target Business has 70 projects in 14 provinces and 24 cities and had GFA under management of approximately 4.65 million sq.m., and contracted GFA of approximately 10.79 million sq.m.

    About Shimao Services Holdings Limited (HKG: 873)
    Established in 2005, Shimao Services is China’s leading provider of integrated property management and community life services. It is also one of the important wings of Shimao Group’s “big aircraft” strategy. Shimao Services takes the “Smart Maker of Good Life” as its brand concept and implements the “iBlue Strategy”, focusing on the four core high-energy city clusters in the Yangtze River Delta Region, Central and Western China, Southern China and Bohai Economic Rim. As of June 2021, the company had more than 530 properties under management, 239 million square meters of contract area, covering residential, schools, government and public facilities, health care centers and hospitals, VIP lounges in waiting rooms, etc, and provided comprehensive property management, community life services and non-owner value-added services for nearly 3.2 million owners and users.

    For more information, please visit Shimao Services’ website: https://www.shimaofuwu.com/

    For further information, please contact:
    Strategic Financial Relations Limited
    Sharon Lau / Cherry Chen
    Tel: (852) 2864 4852 / (852) 2114 4903
    Email: sprg_shimao@sprg.com.hk
    Fax: (852) 2527 1196

  • Shimao Services has formed a strategic cooperation with Suzhou Tianxiang Property Management to effectively improve the expansion capabilities of the Suzhou market

    Shimao Services has formed a strategic cooperation with Suzhou Tianxiang Property Management to effectively improve the expansion capabilities of the Suzhou market

    Shimao Services Holdings Limited (Shimao Services or the Company; HKEX Stock Code: 873.HK) and Suzhou Tianxiang Property Management Co., Ltd. (hereinafter referred to as Suzhou Tianxiang Property Management) have reached an equity partnership agreement, and the latter has subsequently transferred 70% of its shares, representing 246 million yuan, to jointly develop the Suzhou market.

    The partnership between Shimao Services and Suzhou Tianxiang Property Management has created a high degree of strategic synergy. As 96.5% of Tianxiang’s projects are located in Suzhou, it will greatly increase the density of Shimao Services’ residential projects within this market, which is highly compatible with the Company’s strategy of key city intensive development. On December 2, Shimao Services’ arm in the Yangtze River Delta Region was awarded the “2021 East China Property Service Market TOP 3 Position”. Suzhou is one of the key cities served by Shimao Services in the Yangtze River Delta region. Since Suzhou Tianxiang Property Management has 166 projects under management, the partnership has the potential to further enhance the project management capabilities of Shimao Services in the Yangtze River Delta, reducing costs and improving overall operating efficiency, as well as increasing market share. It could also help to create new opportunities for value-added services and market expansion.

    Suzhou Tianxiang Property Management ranks among the top three property management companies in Suzhou, with strong comprehensive strengths and market expansion capabilities that are conducive to Shimao Services’ market expansion plans in Suzhou. It is worth mentioning that Suzhou Tianxiang Property Management has a leading position in Suzhou and even Jiangsu Province, and it is also an excellent property service company to usher represent the 30th anniversary of the reform and development of property management in Jiangsu Province. The company has strong market expansion capabilities, covering government office buildings, schools, logistics parks, hospitals, venues, and residential buildings. Through this cooperation, and with the help of Suzhou Tianxiang Property Management’s capabilities and advantages in the Suzhou market, Shimao Services’ external expansion capabilities in the Suzhou market can be effectively improved, its market share can be further expanded and the two companies can jointly develop a new era for property services.

    About Shimao Services Holdings Limited (Stock code: 873)
    Established in 2005, Shimao Services is China’s leading provider of integrated property management and community life services. It is also one of the important wings of Shimao Group’s “big aircraft” strategy. Shimao Services takes the “Smart Maker of Good Life” as its brand concept and implements the “iBlue Strategy”, focusing on the four core high-energy city clusters in the Yangtze River Delta Region, Central and Western China, Southern China and Bohai Economic Rim. As of June 2021, the company had more than 530 properties under management, 239 million square meters of contract area, covering residential, schools, government and public facilities, health care centers and hospitals, VIP lounges in waiting rooms, etc, and provided comprehensive property management, community life services and non-owner value-added services for nearly 3.2 million owners and users.

    For more information, please visit Shimao Services’ website: https://www.shimaofuwu.com/

    For further information, please contact:
    Strategic Financial Relations Limited
    Sharon Lau / Cherry Chen
    Tel: (852) 2864 4852 / (852) 2114 4903
    Email: sprg_shimao@sprg.com.hk
    Fax: (852) 2527 1196

  • Strives for Five-fold Growth in Next Three Years, Grand Debut of Shimao Services’ “City Services Manager”

    Strives for Five-fold Growth in Next Three Years, Grand Debut of Shimao Services’ “City Services Manager”

    In the advent of its first listing anniversary, Shimao Services Holdings Limited (Shimao Services or the Company; HKEX Stock Code: 873.HK) has been very active – setting up its second headquarters in Chengdu, cooperating with Lang Chao Infrastructure, undertaken overall operation and maintenance of the Westlake University Yungu Campus in Hangzhou, Zhejiang, among others. In the first half of this year, Shimao Services achieved operating revenue of RMB4,234 million, a 171% surge year-on-year. Its net profit attributable to the parent was RMB578 million, up 136% year-on-year. According to its 2020 results announcement, Shimao Services achieved a five-fold growth in both revenue and business scale in the past three years, and will strive for another five-fold growth in the next three years.

    On 29 October, in Shanghai, Shimao Services held an appreciation banquet to celebrate its first listing anniversary and the launch of its city services business. Ye Mingjie, Executive Director and President of Shimao Services Holdings, said he is optimistic about the development prospects of the property industry and Shimao Services will seize opportunities to speed up development. Shimao Services also, for the first time, announced the strategy of its city services business, positioning itself as a “City Services Manager” focusing on four main business areas – environment management, space management, renewal management and smart city management, to help it achieve the strategic goal of making it among leaders in the property service industry by 2023. The 2021 interim results of the Company shows that the newly added city services, with revenue reaching RMB134 million.

    In recent years, favorable national policies have presented conditions for property enterprises to standardize operation and conducive to the long-term positive development of the industry. Shimao Group, the parent company of Shimao Services, is also confident of the prospect of the property industry hence will put its weight behind Shimao Services in striving for continuous rapid growth. Mr. Jason Hui, Vice Chairman and President of Shimao Group and Chairman of the Board of Shimao Services, stressed that, for Shimao Group, Shimao Services has always been one of the two wings in its “Big Plane Strategy” and it believes the property service industry has a promising outlook. Hence, in the future, it will keep providing resources as well as different business opportunities to Shimao Services.

    Currently, although city services still have to the appropriate operation model, with the country encouraging property enterprises to partake in city services, Shimao Services sees opportunities for its business. On 14 October, Shimao Services announced that its second national headquarters has been set up in Wenjiang District, Chengdu, making it the first listed property management company to have dual headquarters to back the development of city services business, helping improve the scientific, precision and intelligence levels of city management.

    In fact, since May this year, Shimao Services has forged partnership with Shenzhen Shenxiong Environment Co., Ltd. (“Shenxiong Environment”) and Wuxi Jinshatian Technology Co., Ltd. (“Jinshatian Technology”), respectively, to help with mapping out its reach in two key regions, namely the Greater Bay Area and the Yangtze River Delta, and build its core and comprehensive city service capabilities. Shenxiong Environment is a top 10 environmental sanitation company in the Greater Bay Area, which also scored first in the Shenzhen Environmental Assessment Index Ranking 13 times in a row. As for Jinshatian Technology, which ranked sixth in the municipal environmental sanitation industry in China, has had it eye on growing the Yangtze River Delta market. Furthermore, in collaboration with local governments, Shimao Services has secured service projects in 15 cities, including Sucheng District of Suqian City and the Acheng District of Harbin City, five projects have commenced operation.

    All signs and moves considered, Shimao Services is clearly positive about the prospect of city services and is sparing no effort to grow the business. In its plan, the business shall be guided by the “City Services Manager” positioning, with coverage extended from residents previously to “residents + citizens”, from inside to “inside + outside” and from property services to “all scenario services”. The manager will focus on four main areas – environment management, space management, renewal management and smart city management, aiming to raise the scientific, precision and intelligence levels of city management. For example, in space management, transportation, culture and leisure activities will be the emphases and, drawing on its advantages in resources, and operational and lean management capability, the company will take part in operating and managing transportation networks, pubic venues and parks, helping create beautiful and harmonious city space for people.

    “Those at the top rule” is true as ever. Thus, Shimao Services has never stopped striving for a place among leaders in the industry. Apart from scaling up business, it also sees value-added service business as a new engine for sustainable growth in the medium and long term. In the first half of this year, community value-added services brought in revenue of RMB1.393 billion, a 233.9% leap year-on-year. Certain “property services + life services” policies and measures introduced by ministries and state commissions have presented huge development opportunities to the value-added service sector. Looking ahead, Shimao Services will push to tap segments with strong potential, broaden its value-added service offerings, attain professional operational capabilities and hone its strength. For instance, Shimao Services’ subsidiary SUNIT has built a 0-2KM core community social life circle, with a good number of stores opened in regions including Shanghai and Nanjing. In October this year, joining hands with MYFARM, it also opened its first self-operated farm at Shimao Riviera Garden in Shanghai.

    In the one year since listing, the Group’s businesses, such as comprehensive property management service, community value-added services and smart city services, all performed well, with business indicators improving across the board. The Group has realized quality growth and prides a more solid and healthy operational foundation now. Shimao Services is expected to maintain brilliant performances going forward and be able to deliver on its promises to customers, cooperative partners and the capital market.

    About Shimao Services Holdings Limited (Stock code: 873)
    Established in 2005, Shimao Services is China’s leading provider of integrated property management and community life services. It is also one of the important wings of Shimao Group’s “big aircraft” strategy. Shimao Services takes the “Smart Maker of Good Life” as its brand concept and implements the “iBlue Strategy”, focusing on the four core high-energy city clusters in the Yangtze River Delta Region, Central and Western China, Southern China and Bohai Economic Rim. As of June 2021, the company had more than 530 properties under management, 239 million square meters of contract area, covering residential, schools, government and public facilities, health care centers and hospitals, VIP lounges in waiting rooms, etc, and provided comprehensive property management, community life services and non-owner value-added services for nearly 3.2 million owners and users.

    For more information, please visit Shimao Services’ website: https://www.shimaofuwu.com/

    For further information, please contact:
    Strategic Financial Relations Limited
    Sharon Lau / Cherry Chen
    Tel: (852) 2864 4852 / (852) 2114 4903
    Email: sprg_shimao@sprg.com.hk
    Fax: (852) 2527 1196

  • Shimao Services Implements Five Major Strategies and Launches Municipal Services Manager to Help Improve Service Quality and Efficiency

    In October 2020, Shimao Services Holdings Limited (Shimao Services or the Company; HKG: 873), the leading comprehensive property management and community living services provider in China, was listed on the Hong Kong Stock Exchange and successfully embarked on a new journey in the capital market. By expanding its comprehensive property management services, diversified value-added services and smart city services, the Group has achieved high-quality growth.

    Shimao Services is positioned as leading comprehensive property management and community living service provider in China. With its brand concept focused on a “Better Smart Life”, Shimao Services is committed to becoming a leading full-scenario provider of city life services in China. In addition to further developing its comprehensive property management, diversified value-added services, smart city services and digital technology businesses, it also seeks to become one of the leading players in the property services industry by 2023.

    Implements five major strategies, including “1+1+X”
    The resources and market share of the property service industry are gradually becoming more concentrated on the market leaders, with competition within the industry becoming increasingly intense. Based on the Company’s current situation, as well as developments in the market, Shimao Services has meticulously developed its roadmap and implemented five strategies, including “1+1+X” (related diversification), horizontal integration, vertical integration, centralization, and updates.

    Take “1+1+X” as an example. The first “1” refers to comprehensive properties, including residential buildings, college campuses and other comprehensive business types. The second “1” refers to community value-added services, and “X” refers to city services. However, there may be more opportunities available in the future. Shimao Services follows a clear value investment philosophy and expands its scale through cooperation under its horizontal integration strategies. Priority will be given to cooperative agreements with regional leaders and leaders in niche markets. “We incubate one platform with another platform, to achieve the effect of ‘1+1>2′ through the cooperation of both parties,” said Ye Mingjie, Executive Director and President of Shimao Services.

    The vertical integration strategy, meanwhile, opens up multiple service types, such as housing, schools, hospitals, “SUNIT” and education institutions. While developing various businesses simultaneously, Shimao Services has proposed a centralized strategy to strengthen the development of its companies in five key cities: Hangzhou, Wuhan, Xi’an, Tianjin and Fuzhou. Take Hangzhou as an example. After cooperating with Zheda Sinew and Jinhu Property, the company joined forces with Yefeng Property once again in order to further increase the density and concentration of the Hangzhou market and enhance the comprehensive capabilities of a single market.

    As for the updates strategy, it is the final stage of Shimao Services’ post-investment integrated management plan, and is focused on further upgrades of its organizational capabilities and management mechanism; further improvement of its professional segment capabilities; and further strengthening of the coordination mechanism for project expansion. In August 2020, Shimao Services worked with Zheda Sinew and subsequently implemented its renewal strategy within the company. On 9th May of this year, Zheda Sinew upgraded its brand image and launched the ” Yulin Campus Service Ecology”. Shimao Services positioned it as China’s leading college campus service provider, reflecting the Group’s strategies of vertically developing the college campus market, consolidating its superior resources and empowering the company’s growth.

    A municipal service manager focused on promoting four main businesses
    Municipal services, an area that is ideal for exploring service scope and demonstrating comprehensive service capabilities, is regarded as a new blue ocean in the field of property management. By leveraging its strong and comprehensive service capabilities, Shimao Services has expanded into municipal services and has rapidly achieved breakthroughs. In this year’s interim report, municipal services became one of Shimao Services’ four main business segments for the first time and began to demonstrate its outstanding potential, bearing fruit in many regions across China. In the first half of 2021, the revenue from Shimao Services’ municipal service business reached RMB134 million.

    Shimao Services sees municipal services as a new strategic engine for its business growth and is therefore positioning itself as a municipal services manager to focus on promoting four main businesses, namely, municipal environment management, urban space management, municipal renewal management and smart urban management. Building on the foundation of its existing property management business, the company has extended its breadth of service from serving residents to serving “residents + citizens”, and from “serving within the service scope” to “serving within the service scope + serving beyond the service scope”, and expanded from a single property service to a full-spectrum service, helping to improve each city’s scientific, precise and intelligent management and participating in the creation of a better future for each city.

    Since May 2021, Shimao Services has cooperated with Shenzhen Shenxiong Environment Co., Ltd. (“Shenxiong Environment”) and Wuxi Jinshatian Technology Co., Ltd. (“Jinshatian Technology”) in establishing its layout across two key regions, namely the Greater Bay Area and the Yangtze River Delta region, and in building its core comprehensive capabilities in municipal services. Shenxiong Environment ranked among the top 10 environmental sanitation companies in the Greater Bay Area, and Jinshatian Technology ranked sixth in the municipal environmental sanitation industry in China. Both companies are national high-tech enterprises and possess the National Level 1 Qualification for Cleaning Services.

    Furthermore, Shimao Services has commenced cooperation with local governments in nine regions, including Jiangsu, Fujian, Guizhou, Sichuan and Heilongjiang. In addition, it has recently implemented two projects in the Sucheng District of Suqian City and the Acheng District of Harbin City, respectively. It is worth noting that in the future, Shimao Services plans to invest in its second national headquarters in Wenjiang District, Chengdu City, with the aim of expanding within the urban service area. Ye Mingjie said, “We will focus on leveraging our resources and advantages in community governance and municipal services to provide quality services such as management of municipal public properties, operation of urban spaces, and development and operation of smart communities, in order to help the central and western regions develop a new dynamic and smart living concept.”

    Striving to achieve five-fold growth in the next three years
    The state has introduced a series of favorable policies in an intensive fashion in recent years. Shimao Services believes that the introduction of these policies has created favorable conditions for the standardized operation of property enterprises and the long-term positive development of the industry. “The policies are conducive to the healthy development of the property service industry, especially for those property service enterprises that insist on a long-term development approach. Shimao Services has always been firmly optimistic about property services and is confident in its future quality development and high growth potential,” said Ye Mingjie.

    In the long run, Shimao Group and Shimao Services are optimistic about the property service sector. As an important part of Shimao Group’s “one body, two wings, aircraft-shaped” strategy, Shimao Services achieved five-fold growth in the past three years. In the next three years, Shimao Group will continue to increase its efforts in supporting the continuous rapid growth of Shimao Services’ property service segment, operating on the asset-light model.

    Looking ahead, Shimao Services will forge ahead by implementing its set strategies and by positioning itself as a leading comprehensive property management and community living service provider in China based on the brand concept of “Better Smart Life”. It will also strive to develop into a leading full-scenario provider of city life services in China. In addition, the Group will insist on realizing both short-term and long-term goals, seizing opportunities to build a presence in and further develop the four major business segments of comprehensive property management, diversified value-added services, smart city services and digital technology business, accelerate the implementation of its strategies, expedite expansion of its business scale and build new value-added engines. Such efforts will help the Group to achieve competitiveness that is enduring and which allows it to realize the goal of five-fold growth in the next three years.

    About Shimao Services Holdings Limited (HKG: 873)
    Established in 2005, Shimao Services is China’s leading provider of integrated property management and community life services. It is also one of the important wings of Shimao Group’s “big aircraft” strategy. Shimao Services takes the “Smart Maker of Good Life” as its brand concept and implements the “iBlue Strategy”, focusing on the four core high-energy city clusters in the Yangtze River Delta Region, Central and Western China, Southern China and Bohai Economic Rim. As of June 2021, the company had more than 530 properties under management, 239 million square meters of contract area, covering residential, schools, government and public facilities, health care centers and hospitals, VIP lounges in waiting rooms, etc, and provided comprehensive property management, community life services and non-owner value-added services for nearly 3.2 million owners and users.

    For more information, please visit Shimao Services‘ website: https://www.shimaofuwu.com/

    For further information, please contact:
    Strategic Financial Relations Limited
    Sharon Lau / Cherry Chen
    Tel: (852) 2864 4852 / (852) 2114 4903
    Email: sprg_shimao@sprg.com.hk
    Fax: (852) 2527 1196