Date
12 December 2017
Richard Li has denied plans for a back-door listing for FWD Group. Picture: HKEJ
Richard Li has denied plans for a back-door listing for FWD Group. Picture: HKEJ

Richard Li says no plan to inject FWD into PCPD

Richard Li, chairman of Pacific Century Premium Developments (PCPD, 00432.HK), said on Wednesday that he has no plan to inject the privately-held FWD Group into PCPD at the moment.

Speaking after a shareholders’ meeting, Li also said that PCCW (00008.HK) will not further reduce holding in PCPD, and that there is no privatization plan either for PCPD.

Last year, Li acquired ING Insurance’s businesses in Hong Kong, Macau and Thailand and renamed the operation as FWD group. Some market observers have been speculating that FWD will be injected into PCPD, enabling a back-door listing for the insurance assets, the Hong Kong Economic Journal noted Thursday.

In response to criticism that PCPD didn’t propose any special dividend after it sold the Pacific Century Place in Beijing for HK$7.2 billion (US$928.8 million) in April, Li said the proceeds will be used to settle a majority of the debts and convertible bond obligations, as well as to finance the firm’s future development plans.

Li said small shareholders have already received a reward as PCPD’s share price has climbed more than 27 percent in the previous year despite a sluggish overall market, and as the net asset value per share climbed to more than HK$4.0 from HK$3.5.

PCPD will continue to have mainland China as a long-term investment destination. It will also step up development plans in Japan, Thailand and Indonesia, the report said.

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