Investment in a Residential Project in Wuhu
 
Deal Summary
In July 2009, Prax Capital invested in a residential project in Wuhu, the second largest city and economic engine of Anhui Province in Central China. Prax Capital formed a joint venture with Yuye Group to develop the 410,000 square-meter residential project. The project is strategically located in Wuhu New Administration District and close to the new Municipal Administrative Hall as well as Wuhu No. 1 High School, and has great potential after completion.
 
Prax Value-added
The local government fully supported Prax¡¯s investment in Wuhu, which significantly strengthened Yuye Group¡¯s image and brand name in Wuhu real estate market. Prax also involved deeply in the engagement of architect to ensure development quality. In addition, Prax appointed a Chief Financial Officer for the project.

 

The Wuhu Project has demonstrated a perfect combination of Yuye¡¯s physical market operation and Prax¡¯s capital management. Yuye has decade of presence in Wuhu and other dozens of second/third tier cities in Anhui Province, which facilitates Prax¡¯s continuous expansion in China. By this deal, Prax has entered into Wuhu, the city with tremendous growth potential in Anhui. In the meantime, Yuye¡¯s strategic development and brand name have benefited significantly from Prax¡¯s resources and strengths both in domestic and international markets. I have full confidence in our success.

- Mr. Xuzhou Zhou, President of Yuye Group