New World Development has sold its stakes in two Hong Kong shopping malls to rail operator MTR Corporation.
The property giant has divested its 50-per-cent stake in Telford Plaza II in Kowloon Bay and its 21-per-cent interest in PopCorn 2 in Tseung Kwan O, to MTR, fetching HKD3 billion (US$385 million).
The deal will be completed next month.
New World Development says it will continue to dispose of non-core assets to “recycle the capital” for the development of its core businesses.
“In addition to disposing of non-core assets in Hong Kong and Mainland China, the group will look for new projects and acquisition opportunities with growth potential and strong recurring cash flow to strengthen the long-term development of its core businesses and further improve its ecosystem, thus optimising value for stakeholders and enhancing the investment value of the group.”
New World Development’s flagship projects in Hong Kong include Victoria Dockside and K11 Musea.