Rosedale Hotel Holdings (HKG:1189) has agreed to further acquire 5.05% interest in Apex Quality Group for a cash consideration of HK$62 million. Upon completion, Rosedale Hotel's shareholding in Apex Quality will increase from 83.1% to 88.2%.

Apex Quality's subsidiaries are principally engaged in the business of hotel management and hotel operation in Hong Kong and in the PRC. As the demand for four-star rated business hotel accommodation in the PRC is promising in the foreseeable future and as the Apex Quality has established a long track record of hotel operation in the PRC, the acquisition is in line with the group's business strategy to focus its resources on expanding its hotel and leisure business. Accordingly, the directors of Rosedale Hotel consider that the acquisition would further consolidate the group's interest in Apex Quality and enhance its position in the hospitality industry in the PRC.