Tom in property JV talks

Tom Group is in joint venture talks with mainland book distributors including state-run Xinhua Bookstore to collaborate on property development projects, according to a South China Morning Post report. A Tom Group official explained the idea as follows: "for example, if one [of our distribution partners] has a three-storey building, we can develop it into 20 storeys while keeping the lowest three as bookstores and have shops or hotels on the upper floors." Tom officials said that the JV could involve the investment of hundreds of millions of dollars and possible collaboration with fellow Li Ka-shing company Cheung Kong (Holdings) as an advisor or co-investor. Plans for the JV are expected to be finalized by the end of the year.