Trying to make the future brighter

The Bank of China Limited, Macau Branch, has agreed to extend a loan (‘bank overdraft facility’) to Hou Wan Group Company Limited, a wholly-owned subsidiary of Future Bright Holdings Limited, according to a filing by the company with the Hong Kong Stock Exchange on Tuesday after trading hours.
The extension of the facility for a further period of one year amounts to a maximum of HK$38.83 million (US$4.83 million).
The total outstanding loans due to Bank of China totalled some HK$277.57 million under various loan documents as at 31 December 2016, a previous announcement on April 13 detailed.
The lender imposes that the managing director and the controlling shareholder of the company, Chan Chak Mo, and his associates hold no less than 37 per cent equity interest in the company during the term of the facility.
The controlling shareholder and his associates were holding 41.3 per cent of the total issued share capital of the company as of the date of the announcement.
Failure to comply with the conditions stipulated under the agreement will constitute an event of default, entitling the lender to declare all the loans immediately due and payable as well as the cancellation of any other bank facilities.
Future Bright is a Hong Kong-based investment company primarily engaged in the food and catering business in Mainland China and in Macau, where it is also engaged in the leasing of property, including six-storey commercial buildings.