Sealand Capital Galaxy Limited Market Update: New Contract Win and Partnership (4383E)

TIDMSCGL

RNS Number : 4383E

Sealand Capital Galaxy Limited

06 November 2020

For immediate release: 07.00, 6 November 2020

Sealand Capital Galaxy Limited (LSE: SCGL)

("Sealand" or "the Company")

Market Update: New Contract Win and Partnership with Zhuhai Duty Free Group

Sealand Capital Galaxy Limited (LSE: SCGL) is pleased to update the market on a new contract win for its subsidiary New Sky Global Media Limited ("NSG"), a digital marketing and advertising company providing professional 'one-stop' solution services to multinational corporations. The Company is further pleased to update the market on its developing commercial relationship with the Zhuhai Duty Free Group ("Zhuhai").

New Sky Global Media Limited: Contract Win

NSG has been awarded a new project by its longstanding client, Suncity Group Leisure Services ("Suncity"). The contract is for NSG to set-up and operate a new Douyin (more commonly known outside of China as TikTok) campaign to promote Suncity's opportunities in light of the Macau government's planned activities around the revitalization of its economy and the 67th Macau Grand Prix.

The contract is worth USD 45,000 and runs until the end of December 2020. The project will be jointly executed by NSG and Tenet, an experienced short video producer that has been working with NSG since 2019 and will comprise a total of 20 short Douyin videos. The service also includes content planning, shooting, post production and release. As Suncity is one of the major sponsors of this year's 67th Macau Grand Prix, NSG will arrange for the shooting of live events during the race.

Partnership with the Zhuhai Duty Free Group

As previously announced, Sealand is also currently actively developing the offline retail business of Qiaohuajiao Fish Maw in China. The Company has established a commercial relationship with Zhuhai, commencing in late October 2020 with multiple Qiaohuajiao products selling in a Zhuhai-based duty free shop, and on the Zhuhai online shopping platform.

Zhuhai has ample practical experience in the operation and management of three major business areas: tax free, duty free, and bonded (cross-border) - offering considerable opportunities for Sealand to streamline its own services. Zhuhai has five duty free shops in ports, two retail shops in Zhuhai City and one duty free shop in Tianjin Binhai Airport. The business also has experience in department store retail and commercial property management, and holdings include the Zhuhai International Trade Shopping in Zhuhai City. The Company will gradually launch products in each of its stores.

Given its multiple locations and retail experience, Zhuhai provides Sealand with an ideal platform to build an offline 'bricks and mortar' sales channel for fish maw. In terms of sales channels, in 2019 Zhuhai launched its multi-format, integrated commerce platform "Duty Free Goods+", which comprises tax-free booking, cross-border e-commerce solutions and a 'tax-paid' online to offline component. Gree Real Estate and Zhuhai co-launched the "Zhuhai Duty Free Mall" mini program and in April 2020 the Gongbei Port Entry Store launched an online duty free product reservation service at the Zhuhai Duty Free Mall, giving Sealand further online sale capabilities.

Nelson Law, Executive Chairman of the Company, commented:

"We are very excited to offer additional services to our longstanding client, Suncity. The instant shooting and coverage of the Macau Grand Prix, and the uploading of content to Suncity's Douyin account, is very exciting work for NSG and will increase user participation to the account, while also driving up followers. Interactive links embedded in the uploads will also increase digital traffic, which lies at the core of what NSG delivers and is a service that we carry out with success for our various clients. Macau is close to being Covid-19 free and customs clearance with various parts of China has been resumed - a situation that allows NSG to discuss further marketing plans with Suncity beyond 2020."

He added:

"Cooperation between Qiaohuajiao and Zhuhai will allow Sealand to source more high quality and sought after products in Europe for sale in China in the future, and to expand the sale of fish maw both online and offline. Through Zhuhai's offline and online sales network, European brands are able to access the Chinese market more quickly and easily. Our established marketing channels and deep knowledge resources will allow Sealand to provide foreign brands with more comprehensive and inclusive solutions to access the Chinese market."

-Ends-

 
Enquiries: 
Sealand Capital Galaxy Limited 
Law Chung Lam Nelson, Executive   + 44 (0) 753 795 
 Chairman                          9788 
Novum Securities Limited 
                                  + 44 (0) 20 7399 
David Coffman                      9400 
 

Notes to Editors:

The Company's Shares are traded on the Official List of the London Stock Exchange's main market for listed securities under the ticker SCGL.

   Further information on Sealand is available on its website   http://www.scg-ltd.com/ 

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November 06, 2020 13:40 ET (18:40 GMT)