RELIANCE GLO HL plans to invest HKD 60 million to participate in the establishment of a joint venture company to develop and operate forestry robot-related businesses
RELIANCE GLO HL announced the signing of a joint venture agreement with AZIO, Hong Kong Innovation Technology, and Zhaolian to establish a joint venture company focused on the forestry robotics business. Reliance Global Capital will invest HKD 60 million, with the total capital of the joint venture being HKD 150 million. The joint venture will be owned 40% by Reliance Global Capital and 40% by AZIO, while Hong Kong Innovation Technology and Zhaolian will hold 9% and 11%, respectively. This move aims to seize opportunities in the forestry robotics field and enhance the timber supply chain business
According to the announcement from Reliance Global Holdings (00723), on September 16, 2025, the company's wholly-owned subsidiary Reliance Global Capital entered into a joint venture agreement with AZIO, Hong Kong Innovation Technology, and Zhaolian. The parties to the agreement agreed to establish a joint venture to develop and operate forestry robotics-related businesses.
According to the terms of the joint venture agreement, the total capital commitment for the joint venture is HKD 150 million, with Reliance Global Capital, AZIO, Hong Kong Innovation Technology, and Zhaolian contributing HKD 60 million, HKD 60 million, HKD 13.5 million, and HKD 16.5 million, respectively. Upon establishment, the joint venture will be held 40% by Reliance Global Capital, 40% by AZIO, 9% by Hong Kong Innovation Technology, and 11% by Zhaolian. The joint venture will not become a subsidiary of the company, and its financial performance will not be consolidated into the group's financial statements.
With technological advancements, robots are playing an increasingly important role in the forestry industry. For example, drones are often used for data collection, monitoring tree inventory, tracking forest regeneration, and monitoring wildfires. On the other hand, the development of unmanned ground vehicles (such as automated harvesters) will play a significant role in the future forestry industry. Leveraging AZIO's expertise in information technology and artificial intelligence, combined with the group's experience in the forestry industry, the joint venture will primarily engage in the development and operation of forestry robotics-related businesses.
The board believes that establishing the joint venture will enable the group to seize opportunities in the emerging forestry robotics field and complement the group's timber supply chain business. The directors believe that the terms of the joint venture agreement are fair and reasonable, and the transactions conducted under it are on normal commercial terms, in the overall interest of the company and its shareholders
