[EpochTimesSeptember192021]Recently, the Li Ka-shing family sold the Shanghai Century Plaza in Jing’an District, Shanghai, arousing public attention.
On the evening of September 17, the veteran Hong Kong company Hysan Industrial announced that the company (through the buyer, the indirect wholly-owned subsidiary of the company, Hysan (Shanghai)) Company) to acquire the entire equity of the target company Scorecity Investments Limited.
Public information shows that Hysan Development was founded by the late Hong Kong entrepreneur Li Hysan and listed on the Hong Kong Stock Exchange. Its main business is property investment, management and development. Since Hysan Development started by developing buildings and hotels in Causeway Bay, a famous business district in Hong Kong, it is known as the “King of Causeway Bay”.
According to the announcement, the target company is currently an indirect holder of 60% of the equity of the project company (the registered owner of the property). The acquisition will be finalized after the sellers acquire the remaining 40% equity of the project company through an intermediary holding company (i.e., minority equity acquisition). After the completion of the acquisition, the buyer will directly own all the issued shares of the target company, and the target company will indirectly own all the equity of the project company through the target company’s ownership of all the issued shares of the intermediary holding company. The main asset of the project company is the property.
The main asset of the project company is the completed office/shop mixed-use development at No. 668, Xinzha Road, Shanghai, China, named “Century Plaza” at No. 688, with a construction area of approximately 86,500 square meters. The property includes a 24-storey building and a 3-storey basement (with approximately 320 parking spaces) and is currently vacant.
According to the “China Fund News” report, the Shanghai Century City Plaza project used to be the Xisiwenli plot adjacent to the “East Eight Blocks” in Jing’an District. It was purchased by Li Ka-shing in 2005. According to the proportion of assets held by the Li Ka-shing family, the sale of “Century Plaza” will cash out 2.1 billion yuan.
Cheung Kong stated that this property sale is one of Cheung Kong’s daily sales business as a real estate company, and Cheung Kong’s revenue from such sales is approximately RMB 2.1 billion.
According to incomplete statistics from the media, Li Ka-shing has sold assets in the Mainland and Hong Kong at least over 250 billion Hong Kong dollars.
However, apart from frequently selling mainland real estate, Li Ka-shing’s family business is also buying land in Hong Kong recently.
According to a Hong Kong official announcement on August 17, the Cheung Kong Group of the Li Ka-shing family won the bid for a plot of land in Hong Kong for HK$716 million. This should be Li Ka-shing’s second shot this year, because at the beginning of the year, Cheung Kong Group had already spent HK$10.28 billion to buy the last piece of prime land at Kai Tak Airport in Hong Kong.
Editor in charge: Li Bing#
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