Hopson Dev't buys land in Panyu for HK$3.8 bln

Nov. 4, 2009 (China Knowledge) - Hopson Development Holdings Ltd<0754> has announced that it will acquire two plots totaling 1.04 million square meters in Panyu District, Guangzhou, Guangdong Province for a total of HK$3.8 billion, sources reported.

The Hong Kong-listed firm intends to pay HK$1.09 billion of the land transfer fee by selling a 61,500-sq m property in Haizhu District and to pay the remaining HK$2.71 billion by issuing new shares for HK$14.62 per share, a price 3.1% higher than the closing price of HK$14.18 on Monday.

In addition, Hopson Development will sell an apartment project in Yuexiu District for HK$289 million. The project, which is close to completion and will have a gross floor area of 244,700 sq m, is predicted to reap HK$155 million in net income.

Reportedly, Hopson Development's revenue from the sale of properties in Guangdong Province exceeded RMB 1.5 billion in September. It sold around RMB 1 billion worth of properties in Guangzhou and more than RMB 500 million worth of properties in Huizhou.