Hong Kong developer Shui On Land (0272.HKG, OL5.FRA) announced plans to transfer its US$10.9 billion property portfolio to subsidiary China Xintiandi in a bid to bolster investor confidence in the soon-to-IPO unit, South China Morning Post reported. “Although China Xintiandi won’t have any assets in the beginning, it will have capital for acquisitions after raising funds through the listing. Shui On’s quality commercial assets will be its primary acquisition targets,” Vincent Lo Hong-sui, chairman of Shui On, said Wednesday. The targets will include the Xintiandi entertainment area in Shanghai and a new project near Xintiandi named Corporate Avenue, as well as other similar developments in Chongqing, Foshan and Wuhan. The company announced plans to spin off its Xintiandi project in May last year for expected proceeds of US$1.5 billion, but the IPO was delayed due to sluggish market growth.
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