Modern Australian
The Times

Oi Wah entered into the Subscription Agreement to subscribe for the Fund’s limited partnership interests at HK$112 million

HONG KONG SAR - Media OutReach Newswire - 13 March 2024 - The board of directors of Oi Wah Pawnshop Credit Holdings Limited (HKEx stock code: 1319.HK, the "Group" or "Oi Wah") and PACM Group (Holdings) Limited ("PACM Group") jointly announced that Oi Wah Mortgage Limited, the indirect wholly-owned subsidiary of the Group, has entered into the Subscription Agreement with the General Partner (co-owned by PACM Group and a direct wholly-owned subsidiary of Oi Wah).

Under the Subscription Agreement, Oi Wah will subscribe for limited partnership interests in the amount of HK$112.0 million in PACM OW Global Special Situation Fund II L.P. (the "Fund"). Upon completion of the Subscription, Oi Wah Mortgage Limited will become a limited partner of the Fund.

According to the Subscription Agreement, the Fund's objective is to achieve long-term capital appreciation through investment strategies, including asset-backed direct lending, non-performing debt acquisition, acquisition financing, stretch senior financing, project financing, bridge financing, and other debt related strategies. The fund will invest in developed markets with a common law jurisdiction legal framework with regions such as Australia, Canada, Hong Kong, Singapore, United Kingdom, and United States.

Mr. Edward Chan, Chairman and CEO of Oi Wah, said, "With the adjustment of the countercyclical macroprudential measures for property mortgage loans and other related supervisory requirements, the Group is optimistic about the long-term prospects of the mortgage business. We believe that the Subscription will provide more resources for both parties, while helping the Group to expand its overseas market segment, revenue sources, and customer base. The long-term cooperative relationship between the parties will help the Group consolidate our position in the industry."

Mr. Francis Ng, Managing Director and Chief Investment Officer of PACM Group, said, "We extend our sincere gratitude to all investors, particularly Oi Wah, a valued long-term partner of the PACM Group. While we recognize that the global real estate market is facing headwind, there are excellent credit investment opportunities in markets where PACM has entrenched since its establishment in 2018. This Fund marks our second private credit fund launched, and including our two Real Estate Private Equity funds launched in 2023, would be the fourth fund launched overall within the PACM Group. During the period of price adjustment in the property market, our team has consistently demonstrated the ability to originate and execute new deals while maintaining flexible adaptability to effectively manage market risks. We embrace both the opportunities and challenges presented by the current real estate market, and we are confident that the Fund under the PACM Group will continue carrying on our excellent investment track record."
Hashtag: #OiWah #PACM

The issuer is solely responsible for the content of this announcement.

Oi Wah Pawnshop Credit Holdings Limited

Oi Wah is a financing service provider in Hong Kong, mainly providing short-term secured financing, including pawn loans and mortgage loans. The Group established its first pawnshop in 1975 and currently owns 10 pawnshops in various locations in Hong Kong. Oi Wah diversified into mortgage loan business in 2009. The Group is the first local pawn shop which successfully listed on the Main Board of The Stock Exchange of Hong Kong Limited on 12 March 2013.

PACM Group (Holdings) Limited

PACM Group (Holdings) Limited ("PACM Group") is a real estate private credit and equity investment management firm specializing in distressed investments / special situations in developed markets with projects in Hong Kong, Australia, the UK, and Canada. Pacific Aegis Capital Management (IM) Limited – a wholly owned subsidiary of PACM Group is a HKSFC regulated entity with a Type 9 Asset Management license.

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