Hong Kong, 24 September 2026—Kerry Properties Limited (trading as “KERRY PPT”) announced that its indirect wholly-owned unit, Mid-Levels Portfolio Holdings Limited, has signed a sale and purchase agreement to dispose of its entire stake in Mid-Levels Portfolio (Gladdon) Holdings Limited (“Target Company”)—together with a HK$6.07 million shareholder’s loan—to controlling shareholder Kerry Holdings Limited (“KHL”). The agreed consideration is HK$56.10 million, subject to a post-completion adjustment linked to the Target Group’s net asset value (NAV).
The Target Company’s sole asset is Mid-Levels Portfolio (Gladdon) Limited, which owns a single-storey penthouse (approx. 1,405 sq ft) with an 820 sq ft terrace and 14 lock-up garages at No. 3 May Road, Mid-Levels, Hong Kong. Independent valuer Cushman & Wakefield valued the property at HK$49.10 million as of 30 June 2026, applying market and income approaches. The unaudited consolidated NAV of the Target Group stood at HK$42.60 million as of 31 August 2026.
Completion is scheduled for the tenth business day after signing, at which point the Target Group will cease to be consolidated into KERRY PPT’s financial statements. Management estimates a disposal gain of roughly HK$5.00 million, subject to audit and final NAV adjustment. Net proceeds are earmarked for general working capital and corporate purposes.
The transaction is classified as a connected transaction under Chapter 14A of the Hong Kong Listing Rules because KHL is KERRY PPT’s controlling shareholder. With all applicable percentage ratios exceeding 0.1% but below 5%, the deal requires announcement and reporting only; no shareholder circular or independent shareholders’ approval is necessary. Chairman and CEO Mr. Kuok Khoon Hua and non-executive director Ms. Tong Shao Ming, both associated with KHL, abstained from the Board vote approving the sale.
Management described the penthouse and associated garages as non-core assets and cited the divestment as part of an ongoing portfolio optimisation strategy focused on redeploying capital to core property development and investment initiatives.
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