Suncity aims to make Summit Ascent into a subsidiary

The Suncity Group explained in a June 1 filing to the Hong Kong Stock Exchange that it is aiming to take a 70 percent interest in Summit Ascent and make the company into a subsidiary.

Under the proposed deal, Victor Sky, a direct wholly-owned subsidiary of the Suncity Group, which currently holds a 22 percent stake in Summit Ascent, will see that stake upped dramatically. Together with Suncity’s direct stake in Summit Ascent, it will control nearly 70 percent of the shares.

The financial results of Summit Ascent would thereafter be accounted as a subsidiary of the Suncity Group and would be consolidated into the financial statements of the parent company.

The value of the deal is about HK$1.2 billion (US$161 million).

Summit Ascent is the operator of the Tigre de Cristal in the Russian Far East.