Edvantage Group (HKG:0382) subsidiary Huashang Hotel entered into hotel management and hotel usage contracts with Sun City Hotel on Monday, a same-day Hong Kong bourse filing said.

Under the hotel management contract, Huanshang Hotel will provide services including Daily operation and management, Financial monitoring, customer service, training, and marketing among others, for certain properties of Sun City Hotel in Xintang Town, Zengcheng District, Guangzhou.

The term of the contract starts from the filing date and will end either on Oct. 31, 2025, or on the date when Huashang gets hotel qualifications.

The profit generated from the operation of the properties will be the service fees payable to Huashang while Huashang will pay 3 million yuan per year to Sun City as the cost of property use.

Under the hotel usage contract, if Huashang obtains hotel qualifications, Sun City will provide certain facilities and equipment to Huashang for use for a one-year term for a fee of 3 million yuan per year.

The facilities and equipment include kitchen equipment, electronic equipment, office equipment, furniture, and motor vehicles.