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Delong Holdings to diversify into investment business

Gwyneth Yeo Published on Tue, Aug 23, 2016 / 6:42 PM GMT+8

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SINGAPORE (Aug 23): Delong Holdings said on Tuesday that it plans to diversify from its core business of manufacturing and selling hot-rolled steel coils into investments that are not limited by any business sector, geographical market or investment vehicle.

The group said in a filing that its existing business remains challenging due to excess production capabilities in the market, which have led to fewer business opportunities and lower investment efficiency in the steel industry.

A diversification into the investment business would reduce Delong’s dependence on its core steel business, provide it with another source of revenue, expand its networks, allow it to benefit from the growth prospects of both local and overseas markets, and grant the company the flexibility to tap into investment opportunities as they arise.