Evergrande boss Xu Jiayin watches as he team tries to reassure the market
In today’s roundup of regional news headlines, China Evergrande’s top executives promise — in writing — to complete the cash-strapped group’s property projects, while fellow mainland developer Sunac is reportedly contemplating a Hong Kong IPO to spin off its indoor ski parks business.
Evergrande Leaders Sign Public Pledges to Deliver ProjectsÂ
Hui Ka Yan, one of China’s wealthiest tycoons and chairman of the world’s most indebted real estate developer, made his first public appearance since July to assure the public that China Evergrande Group was able to complete its property projects.
Hui, also known as Xu Jiayin in mainland China, appeared in the centre of a photograph with Evergrande’s senior executives, where eight vice-presidents signed a guarantee to deliver the company’s projects to customers, according to a 1 September blog post on the company’s official social media account on WeChat. Read more>>
Chinese Wealth Manager Hywin Will Reduce Reliance on Property
Hywin Holdings, which provides wealth management services in China, will aim to reduce its reliance on real estate by expanding new products and growing businesses offshore, chief financial officer Lawrence Lok said Wednesday.
Hywin, which derives most of its revenue from distributing real estate products, including those investing in projects from China Evergrande Group, will focus on new offerings such as privately raised securities products. Read more>>
Sunac Is Said to Mull Spinning Off Indoor Ski Parks for Hong Kong IPO
Chinese developer Sunac China Holdings is considering spinning off its indoor ski parks business for a Hong Kong initial public offering as early as next year, according to people familiar with the matter.
The real estate giant is weighing a first-time share sale for its ice and snow assets to capitalise on the government’s push to boost the nation’s winter sports industry, the people said, asking not to be identified discussing private information. The company may decide to spin off other units in the future, but it has prioritised the ice and snow division because it is among the most profitable, one of the people said. Read more>>
Ex-Swire Boss Keith Kerr Acquires Repulse Bay Project
Keith Kerr, the former chairman of Swire Properties, has gained permission to redevelop a site in Repulse Bay into a super-luxury project. The 12-storey property at 125 Repulse Bay Road, with a gross floor area of 30,894 square feet (2,870 square metres), was bought by Kerr in December for HK$1.012 billion (now $130 million).
He bought the site through a company called Joyful Colour and plans to turn the building into a super-luxury mansion, mainly composed of duplex units. Read more>>
China New-Home Price Growth Slowest in Five Months
China’s August new-home prices rose at the slowest pace in five months, as red-hot demand in the country’s biggest cities cooled after a slew of restrictions to stabilise surging prices, a private-sector survey showed Wednesday.
New-home prices in 100 cities climbed 0.2 percent in August from a month earlier, slowing from a 0.35 percent gain in July, according to data from China Index Academy, one of the country’s largest independent real estate research firms. Read more>>
Country Garden Shrinks Malaysia Staff as Johor Project Stalls
Country Garden Holdings, the largest foreign real estate developer in Malaysia, has trimmed the size of its workforce and sales team in the country by two-thirds over the past two years, as sales at its $100 billion Forest City township near the Malaysian border with Singapore have slowed to a trickle.
The developer, based in the Guangdong provincial city of Foshan, has cut its Malaysia staff to 500 as of June after three rounds of retrenchments over the last 18 months, down from 1,700 in 2019, according to several people familiar with the matter. Read more>>
Club Med Owner Fosun Tourism Expects Rapid Tourism Rebound
Club Med owner Fosun Tourism Group said Wednesday that it sees a sharp rebound in business in the months ahead.
The Hong Kong-listed company expects its performance between July this year and June 2022 to match full-year earnings for 2019, as the global tourism sector is showing encouraging signs of recovery from the COVID-19 pandemic, said executive president and co-CFO Andrew Xu. Read more>>
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