21 September 2019

New World to privatize China property unit, filing says

Property giant New World Development Co., Ltd. (00017.HK) has proposed privatizing New World China Land Ltd. (NWCL) (00917.HK) at a consideration of HK$6.80 per share in cash, representing a premium of 32.3 percent on the last closing price, according to a regulatory filing Friday. New World Development has also proposed giving investors the right to buy one new share for every three held for HK$6.20 a piece. The company hopes to raise up to HK$13.99 billion (US$1.8 billion) to fund the privatization of NWCL, finance existing projects, expand its land bank or use it as general working capital, the report said.

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