Tokyo Chuo Auction Holdings Limited
東京中央拍賣控股有限公司
(Incorporated in Hong Kong with limited liability)
(Stock code: 1939)
 
Tokyo Chuo proposes to acquire 34% shares
of Muchuntang auction house in Taiwan
 
Strengthen the Business Footprints in Taiwan Art Market as well as
Develop Cultural Network between mainland and Taiwan
 
(Hong Kong－ 1 April 2019) A well-recognized auction house of Chinese and Japanese artworks in Hong Kong and Japan - Tokyo Chuo Auction Holdings Limited ("TCA" or the "Company", together with its subsidiaries, the "Group", stock code: 1939) is pleased to announce that the Company entered into a memorandum of understanding (''MOU'') with an independent third party, proposing to acquire 34% of the entire issued shares in a Taiwan-based auction house - Mu Chun Tang Auction Co., Ltd.("Muchuntang"）by cash.
 
Muchuntang is a limited liability company incorporated in Taiwan, which is specialized in auctioneering a wide variety of artworks in Taiwan with focus on Taiwan artworks, including paintings, calligraphies and antiques.
 
As at the date of the MOU, the vendor, Mr. Chiu Hsin Chun, owns approximately 96.72% of the entire issued shares in Muchuntang. In addition, after the financial year end date immediately following the completion of the this proposed acquisition, the Group will also have the right of first refusal for the acquisition of the remaining interests held by the Vendor in Muchuntang on the same pricing, or on no less favourable terms offered by third party purchaser.
 
Tokyo Chuo Auction has endeavored to expand its footprints in Asia and International market. Taiwan, as one of the most sophisticated and mature art market in Asia, has a long history and rich cultural background. Taiwanese collectors are a group of experienced experts with sophisticiated sense of art appreciation. Leverage on the network of collectors as well as the resources for art collections of both parties, the collaboration is expected to create great synergies. In addition, the collaboration could also strengthen Tokyo Chuo Auction's market share in Taiwan and further entrentch its position as a culture promoter. Since its establishment in 2010, Tokyo Chuo Auction has been an advocator to foster cultural exchanges, which is also a common value shared by Muchuntang.
 
Mr Ando Shokei, Executive Director and Chairman of Tokyo Chuo Auction, commented "The collaboration represents a positive message to the Company and to the market as both parties share the same value to promote the cultural development. I have known Mr. Chiu for many years personally and am so excited to work together."
 
Founded in 2012, Muchuntang has sought to bring more awareness to Taiwan art and culture by organizing different art fairs and events, "Taiwan Fine Art & Antiques Fair" and  "Taipei Art Week" for example. Culture inheritance is at the heart of its sustainable business strategy. "I believe our common value would lead us to an exciting level of business synergy and this would bring us to the international stage" said Mr Chiu Hsin Chun, Chairman of Muchuntang.
 
 
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About Tokyo Chuo Auction Holdings Limited

• Founded in Japan in 2010, Tokyo Chuo Auction Holdings Limited is a well-recognized auction house of Chinese and Japanese artworks in Japan and Hong Kong. The Group held its first auction in Japan in 2011 and entered into Hong Kong market in 2013. With its specialization in auctioneering Chinese paintings and calligraphies, Chinese antiques, Japanese and Chinese tea wares and others, the Company organizes two auctions in Japan and Hong Kong per annum, respectively.

 

• Through its extensive networks built in Hong Kong and Japan, the Group has developed a solid and expanding customer base, covering artworks artists, masters, experts, merchants, collectors, art galleries and museums.

 

• The Group ranked second and fifth amongst all auction houses with Chinese art auction business in Japan and Hong Kong with a market share of 26.8% and 4.4% in 2017, in terms of transaction value from the Chinese art auction business in Japan and Hong Kong, respectively.