The Taipei Twin Towers development project may be delayed once more. Recently, New Power Party Legislator Hsu Yung-ming and others raised questions about Nan Hai Corporation, which won the project bid. According to reports, it pledged its stock to China's Central Huajin Investment Company. On Mar. 20, the legislature passed a resolution requiring the Investment Commission to present a report to the legislature before reviewing the case.
The Taipei Twin Towers development project is worth approximately NT$ 60 billion. It has been repeatedly criticized by Taipei City Mayor Ko Wen-je, and the review pace has been slow. The original schedule called for the contract to be signed in April. However, on Mar. 20, the legislature passed a resolution requiring the Investment Commission to present a report to the legislature before starting its review. This may delay the entire project.
The Investment Commission should investigate Nan Hai Corporation and whether it pledged its stock to Central Huajin Investment Company as well as the proportion, which shareholders did this, whether it will affect the future of Taipei Twin Towers, and whether the project will be transferred to Central Huajin Investment Company. These are all things we are worried about.
According to Legislator Hsu Yung-ming, the Investment Commission said in December last year that there were no issues with the two companies. On Mar. 4, it said it had already prepared application materials. On Mar. 18, the Ministry of Economic Affairs asked for supplementary materials because there were documents showing Nan Hai Corporation had pledged part of its equity to Central Huajin Investment Company.
Central Huajin Investment Company holds the collateral right, not the stock right. We are consulting with relevant parties to clarify the influence on the stock right composition and what can be exercised.
The project went through six rounds of bidding. At the end of last year, it was confirmed that Nan Hai Corporation, a Hong Kong company, had the best qualifications. The Investment Commission says it will abide by the legislature's resolution and the pace of the review process depends on the responses of several parties. It will ask the investor to supplement explanations. It stressed the review process will not be delayed.