Corporate Profile

Chinlink International Holdings Limited is a listed company on the Main Board of Hong Kong Stock Exchange (Stock Code: 0997). Chinlink provides financial services such as investment bank, financing guarantee, finance leasing and supply chain financing to China and Hong Kong enterprises. The Company also invests and operates large-scale trade logistics park, warehouses, wholesale retail shopping mall and commercial buildings.

Our Core Values


Innovation

We ensure our corporate strategy addresses the ever-changing social and technological trends of today through our innovative business model and through our differentiated product offerings. Additionally, we strive to create an environment in which our staff can proactively generate new and creative ideas so as to better serve the needs of our customers.

Integrity

Our employees and customers are core to our success. We recognise that our reputation is dependent on compliance to the highest ethical standards. We are committed to being honest and fair in our dealings with our business partners, customers and employees, as we seek to build long-term relationships with our multiple stakeholders based on trust.

Collaboration

We recognise the importance of a diverse employee base and inclusive work environment that allows us to effectively collaborate with all of our strategic partners and remain competitive in the way we do business.


Chairman’s Message

The Year is a year of excitement and achievement for the Group.

The first excitement comes from the unique geographic advantage of the Group's market. Since 2012, the Group has been establishing a strong foothold in Shaanxi Province particularly Xi'an as a successful integrated financial services provider as well as a developer and operator in commercial properties and trade logistics park in the region, gathering years of extensive knowledge and insights of the local economy and the market. In the past few years, the Group witnessed phenomenal changes in the region's economic landscape, from being a backwater inland province in the western part of China to a developing region with robust potential. It is widely held that time has come for the region to regain its past glory and to be rebuilt as a cultural, political, economic, financial and technology hub of the Western China and along the areas covered by the Belt and Road Initiative. The changes are mostly attributed to a number of grand national policies launched by the Central People's Government of the PRC. In 2000, when the China's Western Development Strategy was introduced, Xi'an has become the focal point for the development of the China's central and north western regions, leading to the revitalisation of the land trade routes to Central Asia and Europe. The Belt & Road masterminded by President Xi in 2013 is likely to restore Xi'an to its former glory as both the origin and terminus of the ancient Silk Road. Furthermore, Xi'an is endorsed by the Chinese State Council to build up the Greater Xi'an into an international metropolis and be promoted as one of the nine National Central Cities in China. All these national development strategies have placed the Shaanxi Province, with Xi'an in particular, under the spotlight as the most promising development centre of China. As Xi'an is on track to catch up with the rest of the well-developed coastal areas, it provides both unprecedent challenge and opportunity for the Group. Since the Group has already well-positioned in the region, it has every reason for the Group to realise the first-mover advantages and benefits brought by the region's development in the coming era.

Given the Group's specialisation in financial services and its established connection with the international capital market through its home base in Hong Kong, itself being an important global financial centre, the Group is dedicated to act as a bridge between the international investment community and the growing Shaanxi enterprises which have diversified capital needs. On 26 April 2017, the Shaanxi Provincial Department of Commerce and Chinlink jointly organised the first Shaanxi-Hong Kong Financial Cooperation Exchange, gathering financial institutions from Hong Kong and Shaanxi Province to explore cooperation opportunities under the Belt & Road and the establishment of the China (Shaanxi)Pilot Free Trade Zone. This year, on 12 June 2018, the second Shaanxi-Hong Kong Financial Cooperation Forum was successfully held, also jointly organised by the Shaanxi Provincial Department of Commerce and Chinlink, with the supports from the Shaanxi Liaison Unit of The Hong Kong Special Administrative Region Government and The Stock Exchange of Hong Kong Limited. The theme of this Forum focused on how to bring foreign venture investment funds to connect with the Shaanxi enterprises and to explore the opportunity for those enterprises listing on the Stock Exchange, especially for the technology and IT companies with new business models qualified under the newly-adopted Stock Exchange listing requirements. The last two forums were so successful, and the Group has come to aware its important mission in bridging the Shaanxi Province and Hong Kong capital markets, it is the Group's resolve to organise this kind of forum every year with similar objective but with different theme to address the circumstantial needs of the Shaanxi enterprises. This will further strengthen the Group's position in Shaanxi Province to capture the arising business opportunities.

Xi'an, and even the entire Shaanxi Province, are renowned for its strong technology legacy in aerospace and aircraft engineering, equipment and machinery manufacturing, software development and outsourcing, etc. However, many of these are state-owned enterprises (“SOEs") and their technology and productions are not necessarily for civilian application and not market oriented. It requires a lot of capital and entrepreneurial skills to convert these technologies and know-how into viable businesses and to attract investors' attention. On the other hand, Xi'an is well-known for its standing in higher education and research achievements, ranks only after Beijing and Shanghai. There are over 60 colleges and universities in Xi'an, with an enrollment of over one million students from all over the country and over 300,000 graduates leaving schools every year. Both the provincial and municipal governments regard the deployment of technology and human resources by private enterprises as top priority and provide lots of assistance to the enterprises during their various development stages, including measures to take care of their capital needs. One of those notable policies is the “Longmen Scheme" which encourages Shaanxi Province and Xi'an enterprises to seek for public listing in domestic and overseas stock markets, including Hong Kong. Under this favorable environment, the Group has an important role to assist the enterprises by applying its financing expertise through its well-established comprehensive financial services platform. The Group's existing financing vehicles including Shaanxi Chinlink Financial Guarantee Limited, Chinlink Finance Lease Company Limited and the supply chain finance companies are all working on customised solutions to cater for Shaanxi Province enterprises' different working capital and investment needs. Furthermore, the Group will also go after the enterprises' equity funding opportunity by bringing in venture capitals and assist them in overseas listing through the Group's investment banking companies, the MCM Holdings Limited (“MCM Holdings") and its subsidiaries (collectively, the “MCM Group").

In November 2017, the Group completed the first milestone achievement of the Year with the acquisition of 51% controlling interest in the MCM Group. MCM Group is a boutique investment bank licensed by the Securities and Futures Commission (SFC) of Hong Kong to provide services including dealing insecurities and futures contracts, advising on securities and asset management, etc. This is a highly strategic move for the Group in the diversification of its scope of financial services, just in time for the Group to seize the opportunity to serve the huge capital need under the Shaanxi development plans. The Group is in the process of applying for setting up a private equity asset management company in Xi'an which targets to invest in the technology enterprises of high growth potential. MCM Group will also play an active role bringing in overseas venture capital and partnership, and provides corporate advisory services for Shaanxi enterprises seeking for initial public offering in Hong Kong or other overseas market.

The Group's two other major achievements during the Year are as follow.

Firstly, the Group has expanded its property investment portfolio through the acquisition of a construction-in-progress office building of which the majority of the space will be leased out and held for long term investment. Moreover, the Group has acquired the remaining 26.625%minority shareholding in the Daminggong Construction Materials and Furniture Shopping Centre (Dongsanhuan Branch) in Xi'an, allowing the Group to enjoy all the benefits brought by this lucrative operation and the future development potential of the Group's nearby undeveloped land right next to the Commercial Complex with the potential to build 119,000 square meters additional space. Both transactions will increase the Group's steady income base. Thus, the Group can continue to enjoy the upside potential of the Xi'an real estate market with a stronger asset base and will be in a better position to bargain for higher leverage ratio in terms of bank financing at more accommodating cost.

Secondly, the Group has successfully invited two SOEs as strategic partners investing into the Financial Guarantee Company and the Finance Lease Company. The investments from the two SOEs serve to strengthen the companies' capital base which is necessary for further business expansion, as well as to enhance their creditability and ratings favorable to their further external funding.

Concerning existing business, the Group has successfully rolled out the finance leasing business during the Year and has already secured a sizable leasing portfolio of diversified industries and geographical locations. Additionally, the Group's trading and supply chain finance operations recorded tremendous growths in terms of both revenue and gross profit and the financial guarantee operations were stable. Rental and management incomes gained from the Commercial Complex were also highly encouraging, it constantly maintained a very high occupancy rate and it reached 99% as of the end of the Year. The launch of the wholesale marketplace for building and construction materials and home furnishing products in phase one of the Chinlink • Worldport Integrated Logistics Park (located in the Hanzhong Baohe Logistics Park in Hanzhong City, a major city in the southwestern part of the Shaanxi Province) in the third quarter of 2018 and completion of the Commercial Building (as defined below) will also contribute new incomes to the Group.

The Group is full of confident about its future. It is now a truly multi-platform financial service provider both in traditional alternative financing in China and capital market services on international scale, supported by a pool of experienced financial professionals of multi-culture and multi-market backgrounds ready to deploy their expertise through the Group's financial platform. The Group also enjoys strong asset backing from its portfolio optimisation and continued investment in commercial properties and logistics park. The most important is, after many years' efforts, the Group has already established strong footing on one of the most promising growth regions of China. It has come to the time for the Group to realise its past cultivations.

Intelligent, creative, dedicated and responsible employees are the Group's most valuable assets in this challenging and competitive era. The Group would like to take this opportunity to thank its Board members, shareholders and diligent employees for their hard work, loyal service and contributions during the Year.


Li Weibin
Chairman
25 June 2018

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Directors & Senior Management

Executive Directors

Mr. Li Weibin

Mr. Li joined the Group as an Executive Director since 27 January 2012 and was re-designated as Chairman and Managing Director on 18 February 2012. Mr. Li holds a Bachelor's degree in Applied Electronics from Xi'an Technological University and an Executive Master in Business Administration from Xi'an Jiaotong University. Since early 2000, Mr. Li has been engaged in research, production and sales of electronic components and materials, computer software and hardware as well as research and sales of computer related equipment. He has also been engaged in property development, planning and sales, management, and other property related investments, cultural and entertainment businesses. His businesses are present in Beijing, Xi'an and Hong Kong.

Mr. Siu Wai Yip

Mr. Siu joined the Group as an Executive Director since 27 January 2012. Mr. Siu holds a Bachelor of Arts degree from The University of Hong Kong. He has over 10 years' of experience in banking and financing and previously held executive positions at various major international banks, with specialisation in trade financing and corporate banking. Prior to joining the Group, he was appointed as an Executive Director of Matsunichi Communication Holdings Limited (now known as Goldin Properties Holdings Limited, Stock Code: 283) from January 2005 to February 2006. He was an Executive Director of Vincent Intertrans (Holdings) Limited (now known as Shanghai Industrial Urban Development Group Limited, Stock Code: 563) from July 1998 to May 1999. The shares of these two companies are listed on the Main Board of Hong Kong Stock Exchange.

Ms. Lam Suk Ling, Shirley

Ms. Lam joined the Group since 27 January 2012 and is currently in the role of Chief Financial Officer and Company Secretary for the Group. She was appointed as an Executive Director on 18 February 2012. She holds a Master in Business Administration from The University of Adelaide, Australia and a Bachelor of Science degree from Murdoch University, Western Australia. She is qualified as a Certified Public Accountant of Hong Kong Institute of Certified Public Accountants and a Certified Practising Accountant of CPA Australia. Ms. Lam has over 20 years' of experience in auditing, accounting and financial management, and also worked for various international audit firms and listed companies. Prior to joining the Group, Ms. Lam was an Executive Director of Jackin International Holdings Limited (now known as AMCO United Holding Limited, Stock Code: 630), a company whose shares are listed on the Main Board of Hong Kong Stock Exchange, from February 2010 to December 2011.

Mr. Lau Chi Kit

Mr. Lau joined the Group as an Independent Non-Executive Director since 18 February 2012, and he was re-designated as an Executive Director on 18 September 2013. Mr. Lau retired from The Hongkong and Shanghai Banking Corporation Limited (“HSBC") in late December 2000 after more than 35 years' of service. Amongst the major positions at HSBC, he served as Assistant General Manager and Head of Personal Banking Hong Kong and Assistant General Manager and Head of Strategic Implementation, Asia-Pacific Region. Mr. Lau is a Fellow of the Hong Kong Institute of Bankers (the “Institute"). He served as the Chairman of the Institute's Executive Committee (from January 1999 to December 2000) and is currently the Honorary Advisor of the Institute's Executive Committee. He has served as a Member on a number of committees appointed by the Government of Hong Kong Special Administrative Region, including the Advisory Council on the Environment (from October 1998 to December 2001), the Advisory Committee on Human Resources Development in the Financial Services Sector (from June 2000 to May 2001), the Corruption Prevention Advisory Committee of the Independent Commission Against Corruption (from January 2000 to December 2003), the Environment and Conservation Fund Committee (from August 2000 to October 2006), the Innovation and Technology Fund (Environment) Projects Vetting Committee (from January 2000 to December 2004) and the Law Reform Commission's Privacy Sub-committee (from February 1990 to March 2006). Mr. Lau also served as a Chairman of Business Environment Council Limited (from September 1998 to December 2001). Currently, he is also an Independent Non-Executive Director of Century Sunshine Group Holdings Limited (Stock Code: 509), Royale Furniture Holdings Limited (Stock Code: 1198), Leoch International Technology Limited (Stock Code: 842), Hin Sang Group (International) Holding Co. Ltd. (Stock Code: 6893) and Janco Holdings Limited (Stock Code: 8035), and was an Independent Non-Executive Director of Hua Long Jin Kong Company Limited (previously known as Highlight China IoT International Limited and Ford Glory Group Holding Limited, Stock Code: 1682) from September 2010 to September 2017. Except for Janco Holdings Limited with its shares listed on the Growth Enterprise Market of Hong Kong Stock Exchange, all the shares of the companies mentioned above are listed on the Main Board of Hong Kong Stock Exchange.

Non-Executive Director

Ms. Fung Sau Mui

Ms. Fung joined the Group in 1976. Ms. Fung was an Executive Director, Director of Finance and Administration as well as Chief Financial Officer of the Group and resigned from her positions and was re-designated as a Non-Executive Director with effect from 18 February 2012. Ms. Fung has over 30 years' of experience in financial management, accounting, costing, material sourcing and purchasing, and personnel management.

Independent Non-Executive Directors

Dr. Ho Chung Tai, Raymond

Dr. Ho joined the Group as an Independent Non-Executive Director since 17 December 2013. Dr. Ho is a former Member of the Legislative Council (1996-2012), a former Hong Kong Deputy to the 10th & 11th National People's Congress and the past President of the Hong Kong Institution of Engineers (1987-1988). He holds a Doctorate in Civil Engineering from City University of London, United Kingdom; an Honorary Doctorate of Laws from The University of Manchester, United Kingdom; an Honorary Doctorate of Business Administration from City University of Hong Kong; a Bachelor of Science degree in Engineering from The University of Hong Kong; and a Postgraduate Diploma in Geotechnical Engineering from The University of Manchester, United Kingdom. Currently, Dr. Ho is the Chairman of the Advisory Committee for the Guangdong Daya Bay Nuclear Plant and LingAo Nuclear Plant Safety Consultative Committee (2005-present) and Professional Advisor to The Ombudsman of Hong Kong (Engineering and Surveying) (1995-2013, 2015-present). He has served as a Board Member of the Airport Authority Hong Kong (2008-2014), the former Chairman of the Hong Kong Trade Development Council Infrastructure Development Advisory Committee (2009-2013) and the Founding Council Chairman of City University of Hong Kong (1992-1994). He is also an Independent Non-Executive Director of China State Construction International Holdings Limited (Stock Code: 3311), GCL-Poly Energy Holdings Limited (Stock Code: 3800), Deson Development International Holdings Limited (Stock Code: 262) and AP Rentals Holdings Limited (Stock Code 1496). The shares of these four companies mentioned above are listed on the Main Board of Hong Kong Stock Exchange.

Ms. Lai Ka Fung, May

Ms. Lai joined the Group as an Independent Non-Executive Director since 18 February 2012. Ms. Lai obtained a Master of Arts in International Accounting from City University of Hong Kong in 2001. She has been a Member of the Hong Kong Institute of Certified Public Accountants since 1999 and is a Fellow of The Association of Chartered Certified Accountants since 2003. She is the sole proprietor of May K. F. Lai & Co., Certified Public Accountant and has been engaged in the audit field for more than 20 years. She is also an Independent Non-Executive Director ofEmperor Entertainment Hotel Limited (Stock Code: 296) and was an Independent Non-Executive Director of Emperor Watch & Jewellery Limited (Stock Code: 887) from June 2008 to May 2017. The shares of these two companies mentioned above are listed on the Main Board of Hong Kong Stock Exchange.

Ms. Chan Sim Ling, Irene

Ms. Chan joined the Group as an Independent Non-Executive Director since 18 February 2012. She graduated with a Bachelor of Laws degree from The University of Hong Kong in 1985. Ms. Chan is a retired solicitor with over 19 years' of experience serving as an Independent Non-Executive Director of listed companies. She is an Independent Non-Executive Director of Emperor Culture Group Limited (previously known as See Corporation Limited, Stock Code: 491) and Emperor Watch & Jewellery Limited (Stock Code: 887). She was also an Independent Non-Executive Director of Emperor Entertainment Hotel Limited (Stock Code: 296) and New Media Group Holdings Limited (now known as Evergrande Health Industry Group Limited, Stock Code: 708), and retired in August 2013 and March 2015 respectively. The shares of these four companies mentioned above are listed on the Main Board of Hong Kong Stock Exchange.

Senior Management

Ms. Lee Wing Yan, Joanne

Ms. Lee joined the Group on 17 October 2011. She is currently the Corporate Development and Communications Director and is responsible for the Group's strategic planning, corporate communications and investor relations. Ms. Lee holds a Master in Business Administration from The Chinese University of Hong Kong. She also obtained a Bachelor's degree in Business Studies from City University of Hong Kong and graduated with first class honors. Ms. Lee has over 10 years' of marketing and business development experience in consumer electronics and IT industries. Prior to joining the Group, Ms. Lee served as a Visiting Fellow at City University of Hong Kong, Department of Marketing from July 2008 to October 2011. Her teaching areas included Strategic Marketing, Relationship Marketing and Services Marketing.

Mr. Mag Chiu Fai

Mr. Mag joined the Group on 26 March 2012. He is the Financial Controller and is responsible for the Group's financial management and accounting matters. Mr. Mag holds a Bachelor's degree in Accountancy from The Hong Kong Polytechnic University and is qualified as a Certified Public Accountant of the Hong Kong Institute of Certified Public Accountants and is a Fellow of The Association of Chartered Certified Accountants. Mr. Mag has over 15 years' experience in auditing, accounting and financial management. He also worked for two international audit firms. Prior to joining the Group, Mr. Mag was a Senior Accounting Manager of Nan Hai Corporation Limited (Stock Code: 680), a company whose shares are listed on the Main Board of Hong Kong Stock Exchange, from November 2005 to July 2010.

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Group Structure

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Milestones

Mar 2000

Listed on the Main Board of the Hong Kong Stock Exchange, focused on interior design and renovation, and furniture manufacturing.

Jan 2012

Mr. Li Weibin acquired control and changed the company name to Chinlink International Holdings Limited.

Jul 2012

Commenced logistics business in Xi'an, Shaanxi Province.

Jun 2013

Approved by the Financial Affairs Office of Shaanxi Province to establish the first wholly foreign-owned financing guarantee enterprise in Shaanxi Province.

Jun 2014

Acquired land and commenced development of Phase One of Chinlink ‧ Worldport Integrated Logistics Park in Hanzhong, Shaanxi Province.

May 2015

Approved by Shaanxi Provincial Department of Commerce to establish a finance leasing enterprise.

Jun 2015

Started supply chain finance businesses in Hong Kong, Shenzhen and Xi'an.

Aug 2015

Acquired the Daminggong Construction Materials and Furniture Shopping Centre (Dongsanhuan Branch) located in Xi'an.

Sep 2015

Approved by Xi'an Customs to set up the only Southern Shaanxi import bonded warehouse in Chinlink ‧ Worldport.

Oct 2015

Entered into a LOI with the Hantai District People's Government of Hanzhong Municipality to co-develop national Chinese herbal medicine trading base in Chinlink ‧ Worldport.

Apr 2017

Acquired the office development in Xi'an from Mr. Li Weibin.

Apr 2017

Agreement signed with the investment company of the Municipal Government of Hanzhong for investment in Chinlink's Financing Guarantee business.

Apr 2017

Agreement signed with Shaanxi Tourism Group for investment in Chinlink's Finance Leasing business.

Nov 2017

Acquired 51% of MCM Group

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Corporate Governance

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Corporate Information

Executive Directors
Mr. Li Weibin, Chairman and Managing Director
Mr. Siu Wai Yip
Ms. Lam Suk Ling, Shirley
Mr. Lau Chi Kit
Non-executive Director
Ms. Fung Sau Mui
Independent Non-executive Directors
Dr. Ho Chung Tai, Raymond
Ms. Lai Ka Fung, May
Ms. Chan Sim Ling, Irene
Company Secretary
Ms. Lam Suk Ling, Shirley
Registered Office
Clarendon House
2 Church Street
Hamilton HM 11
Bermuda
Head Office &
Principal Place of Business in Hong Kong
Suites 5-6, 40/F., One Exchange Square,
8 Connaught Place, Central, Hong Kong
Principal Bankers
The Hongkong and Shanghai Banking Corporation Limited
OCBC Wing Hang Bank Limited
Standard Chartered Bank (Hong Kong) Limited
DBS Bank (Hong Kong) Limited
China Minsheng Banking Corporation Limited
Chang'an Bank Co., Limited
Shanghai Pudong Development Bank Co., Ltd
Industrial and Commercial Bank of China Limited
Industrial and Commercial Bank of China (Asia) Limited
Hang Seng Bank Limited
Principal Share Registrar &
Transfer Office
Estera Management (Bermuda) Limited
Canon's Court
22 Victoria Street
Hamilton HM 12
Bermuda
Hong Kong Branch Share Registrar &
Transfer Office
Tricor Standard Limited
Level 22, Hopewell Centre
183 Queen's Road East
Hong Kong
Auditor
Deloitte Touche Tohmatsu
Certified Public Accountants
Legal Advisers
Michael Li & Co.
DLA Piper Hong Kong
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Awards & Recognition

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