In today’s roundup of regional news headlines, private equity firm PAG reportedly leads a $6 billion funding round for Dalian Wanda Group, a former Hong Kong chief executive picks up a luxury home in Mid-Levels, and Baoneng is the latest mainland property firm to get caught in a debt spiral.
Chinese conglomerate Dalian Wanda Group has raised nearly $6 billion for its commercial property management business ahead of its Hong Kong IPO, in one of China’s biggest such fundraisings this year, four people with direct knowledge told Reuters.
Hong Kong-based private equity firm PAG led the fundraising with $2.8 billion for the unit, Wanda Light Asset Commercial Management Co, said three of the sources. Read more>>
China’s major banks have been notified by the housing authority that Evergrande Group won’t be able to pay loan interest due on 20 September, Bloomberg reported, underlining the broadening impact of the property developer’s liquidity crisis.
The troubles ailing the nation’s No.2 property developer have already sparked social anger among investors and homebuyers and raised risks for China’s vast financial system. Read more>>
Baoneng Investment Group, a Shenzhen-based private property and financial services company, is the latest Chinese conglomerate to face a massive debt crisis. Baoneng is best known for its failed 2015 hostile-takeover attempt of major property developer China Vanke.
With RMB 200 billion ($31 billion) of debt, Baoneng faces employees demanding unpaid wages, suppliers clamoring for overdue payments and creditors seeking loan payments. The company, which obtained a RMB 12 billion strategic investment from the Guangzhou government, is frantically trying to scrape up cash by selling assets and requesting more government support. Read more>>
Hang Lung Properties plans to start construction by the end of this year on one of Hong Kong’s most luxurious projects on the former site of US consulate residences on Shouson Hill Road.
Last September, the Hong Kong-listed developer led by billionaire Ronnie Chan picked up the parcel at 37 Shouson Hill Road on which six multi-storey villas stood for HK$2.56 billion ($330 million), or HK$54,138 per square foot. Read more>>
UOL has completed One Bishopsgate Plaza, an integrated development in London that involves the construction of a 43-storey tower and the conservation of the 144-year-old heritage building Devonshire Row.
The project will anchor UOL’s investments in London, which include two other commercial buildings in London’s midtown area, UOL group chief executive Liam Wee Sin said Wednesday in a press statement. Read more>>
China’s home prices grew at the slowest pace in the past eight months in August, as buying confidence took a hit from the government’s cooling measures.
Troubles at China Evergrande Group, the world’s most indebted developer, which is struggling to complete its housing projects, also weighed on sentiment. Read more>>
Tung Chee-hwa, Hong Kong’s first postcolonial chief executive from 1997 to 2005, bought a luxury home at Grenville House in Hong Kong’s posh Mid-Levels district for HK$160 million ($20.6 million) last month, according to Land Registry records.
Tung bought the unit in his own name, paying a stamp duty of 4.25 percent, or HK$6.8 million, which indicates that the former chief executive was a first-time homebuyer. Read more>>
Watten Estate Condominium at Shelford Road in Singapore has been put up for collective sale via tender with a minimum price of S$500 million ($373 million), said marketing agent JLL.
Spanning 220,241 square feet (20,461 square metres), the freehold elevated site is zoned residential with a gross plot ratio of 1.4 and an allowable height of up to five storeys. Read more>>