Sino Express Travel Limited (OTC:SXPT) announced that it has commenced a new business direction in the investment and development of tourist spots and travel destinations in China. At US$96 billion in 2005 revenues, China's tourism business is expected to grow at 8.7% per year in the coming 10 years according to the World Travel & Tourism Council. There is a high demand for new local tourist destinations, driven by the booming Chinese domestic tourism. Sino's management believes Sino's shareholders would see the advantages of the change in business direction, which creates better opportunities in a growing sector and increases valuations from properties.
Sino recently acquired 100% interest in Southern Silver Resort & Beach ('Southern Silver'), a resort hotel located at the southern coast of Guangdong, China. The transaction is settled by the issuance of SXPT restricted common shares, cash and other assets. Southern Silver, valued at over US$20 million by professional surveyor, consists of a resort hotel, an amusement park, private beach access, recreational facilities and a portion of undeveloped land, and it produces about US$500,000 net profit. Furthermore, the provincial government is developing and promoting a US$23 million maritime museum, Nanhai No. 1 Museum, near Southern Silver. It is expected that the city planning expansion and infrastructure development would greatly benefit Sino's new acquisition. Sino's expansion plans include developing the undeveloped land in Southern Silver to meet market demand, and continuing to search for more attractive acquisitions.
About Southern Silver Resort & Beach
Southern Silver is a beach resort located in Silver Beach, Yangjiang city, Hailing Island of Guangdong province, China. The 7.4-km-long Silver Beach has been listed the world's longest beach in the Guinness Book of World Records (Shanghai Branch). The resort is about 50,900 square meters and it features a private 21,900 square meter beach, 1 km of coastline, and stunning ocean and scenic views. Southern Silver is also located next to the Nanhai No. 1 Museum, better known as 'China's Marine Silk Road Museum' which is designed to display more than 80,000 historical maritime relics from submerged vessels in the South China Sea.
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