1. Focus primarily on medium to large partially completed property projects

The Group will focus primarily on medium to large partially completed property projects in the PRC through the acquisition of interests in partially completed property projects and the management of the construction, development and sale or leasing of such projects. The projects are likely to be medium to large developments with short completion periods and the potential for attractive returns. In addition to partially completed property projects, the Group may from time to time pursue other property investments in the PRC if they conform with the investment criteria of the Group.

2. Invest in accordance with the Group's investment criteria

The Company plans to invest in projects with a targeted IRR of at least 25 per cent. to the Group after deducting the Group's costs, including any taxation, on a leveraged basis. The targeted IRR is simply a strategic goal and the Group may not be able to reach this target consistently or at all. Furthermore, potential investors must bear in mind that, in seeking to maximise its projected returns, the Company may invest in projects that are substantially riskier than those with a lower projected rate of return. Please see Part II of the Admission Document for further information.

It is intended that no single investment from the Company will exceed 15 per cent. of the Company's Total Equity Capital. The Board has the discretion to determine whether the Company will co-invest with others. In all cases, the Investment Manager will, under the terms of the Investment Management Agreement, provide advice and supervision in respect of the project management of all of the Group's projects.

3. Grow a portfolio with geographic and property asset type diversification

The Initial Portfolio comprises commercial, retail, hospitality and residential property projects located in Beijing, Chengdu, Dalian and Qingdao in the PRC. In terms of geographic diversity, 50 per cent. of the GFA of the Initial Portfolio is in Beijing, 16 per cent. in Qingdao, 16 per cent. in Dalian and 18 per cent. in Chengdu.

The Directors intend that the Group should expand its presence and geographic scope by capitalising on partially completed property opportunities in prime locations in major and secondary cities in the PRC in order to maximise potential value for Shareholders and to reduce overexposure to one single region or property project type.

4. Seek to commit substantially all of the net proceeds of the Placing and the Convertible Bond Offering available for investment within 18 months of Admission

In addition to the acquisition of the Projects to be Acquired, which will account for approximately 11 per cent. of the net proceeds of the Placing (assuming no exercise of the Over-allotment Option) and the Convertible Bond Offering, it is the Directors' current intention to invest in additional projects including partially completed property projects in the PRC by committing substantially all of the net proceeds of the Placing and the Convertible Bond Offering within 18 months of Admission.

5. Enhance asset value by utilising the integrated capabilities of the Investment Manager

Through the integration of the construction, property and financial structuring capabilities of the Investment Manager, the Company aims to enhance the asset value of the property projects in the Initial Portfolio through upgrading, repackaging, completing and managing those projects.

6. Realise the Group's investments in order to maximise value for Shareholders

The Directors will seek to realise the Group's investments in a project in a way which maximises potential returns to Shareholders, taking into account factors such as current and future market conditions, optimising the Group's tax position on a disposal, the stage of developments of a project and progress in letting and/or selling a project.

The Directors have discretion as to whether to reinvest the proceeds of sale of an investment in a project or whether to make a distribution to Shareholders.