Li Ka-shing’s CK is cutting prices to sell its Wong Chuk Hang homes (Getty Images)
Hong Kong’s richest man has started selling homes below the cost of building them, with that story reading Mingtiandi’s headline roundup today. Also making the list, Fitch Ratings downgrades China Longfor to junk status and China Vanke vows to cut debt after.
CK Asset Seen Selling Hong Kong Homes Below Cost to Drum Up Sales
CK Asset Holdings has priced its closely-watched new project in Wong Chuk Hang project well below cost and significantly cheaper than neighbouring developments in a sign it may be trying to ensure the first batch of flats sells out in the hopes of drumming up interest in the remaining units.
The average price per square foot after discounts of the first 138 flats to go on sale at Blue Coast works out at HK$21,968 ($2,808), the lowest among all completed projects in the Southside residential neighbourhood, according to data compiled by property agencies. Read more>>
Blackstone Plans to Add $25B in India Private Equity Assets Over Five Years
Blackstone aims to add an additional $25 billion in Indian private equity assets over the next five years, reflecting the South Asian country’s increasing allure to global investors.
The New York-based firm also intends to bring on 20 more investment professionals to its asset management business in India and double its office space in Nariman Point in downtown Mumbai, according to its head of private equity in Asia, Amit Dixit. Read more>>
Fitch Downgrades Chinese Developer Longfor to Junk
Fitch Ratings downgraded China’s second-largest private developer, Longfor Group, to junk status on Thursday, citing persistent weakness in the company’s and the sector’s sales performance.
Fitch downgraded Longfor to BB+ from BBB-, which was the last notch for investment-grade ratings, adding a negative outlook. Read more>>
Vanke Aims to Cut Debts by One-Third After Profit Plummets
China Vanke has announced plans to reduce its interest-bearing debt by a third in the next two years. The struggling developer will go all out to achieve such goal, including suspending dividend payments for the first time in 31 years.
Vanke put forward a deleveraging plan to cut its interest-bearing debt by more than RMB 100 billion (13.8 billion) in the next two years, the Shenzhen-based company announced in its latest annual report released on Thursday. Read more>>
Apartment Rental Startup Blueground Raises $45M in Series D Funding
Blueground, the largest global operator of furnished, flexible rentals for 30-plus day stays, said Thursday that it has secured $45 million in Series D funding. The raise includes investments from new investor Susquehanna Private Equity Investments, along with other notable investors including WestCap.
In addition, Blueground raised a debt facility from Barclays with participation from Morgan Stanley, Deutsche Bank and HSBC, which replaced its prior facilities with Silicon Valley Bank. The capital will be used to accelerate the development of Blueground’s technology and new strategic initiatives, fuelling the company’s continued growth. Read more>>
K Raheja Inks Pact to Develop Land in Mumbai’s Worli
Developer K Raheja Corp plans to develop a luxury residential project in Mumbai’s Worli over an anticipated 2.5 acres (1 hectare) of land. The project has an estimated revenue potential of INR 20 billion ($239.9 million), and the developer plans to complete it within five years of commencement.
Raheja Corp will be responsible for the planning, design, approvals, execution, branding and sales of the project. The luxury project has a development potential of nearly 300,000 square feet (27,870 square metres). Read more>>
UAE Prince’s HK Family Office Shares Space With Firm Linked to Late Macau Casino King
The proposed Hong Kong site for a Dubai prince’s family office shares space with an investment firm linked to Macau’s casino operators and where late billionaire Stanley Ho Hung-sun was a director until his 2020 death, the Post has found.
After the last-minute postponement of the launch of 28-year-old Sheikh Ali Rashed Ali Saeed Al Maktoum’s family office, scheduled for Thursday, the city government distanced itself from questions about his high-profile presence and his links to the Dubai ruler. Read more>>
China’s Big Banks Post Scant Profit Gains as Margins Shrink
China’s largest state-owned bank posted scant gains in earnings for last year as margins weakened.
Net income at Agricultural Bank of China grew 3.9 percent to RMB 269.36 billion ($37.3 billion), it said in a Thursday filing. Bank of China reported that earnings rose 2.4 percent to RMB 231.9 billion. Read more>>
Stock Investors Shun Greater China and India, Reward Japan
As the Asia Pacific reporting season takes a breather, a look at how investors have received earnings shows they’ve clearly been favouring Japanese companies’ stocks while shunning those in Hong Kong, China and India.
Next week’s earnings highlights include South Korean giant Samsung Electronics, Chinese spirits maker Kweichow Moutai and Yaskawa Electric, the Japanese manufacturer of industrial robots. Read more>>
Tune in again soon for more real estate news and be sure to follow @Mingtiandi on X, or bookmark Mingtiandi’s LinkedIn page for headlines as they happen.
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