May. 30, 2012 (China Knowledge) - Shui On Land Ltd<0272
>, the flagship property developer of Shui On Group and controlled by Hong Kong billionaire Vincent Lo, has announced plans to spin off its Chinese shopping and commercial development business, Xintiandi, through an initial public offering in Hong Kong
In a statement filed with the Hong Kong Stock Exchange
, Shui On Land said Xintiandi will focus on commercial developments of upscale projects in mainland China, adding that proceeds from the IPO would will used for acquisitions and investments in commercial properties and to settle outstanding debts.
The proposed IPO, however, is still subject to approval from Shui On Land's board of directors. No more details have been disclosed.
Besides its flagship in Shanghai
, Xintiandi owns projects in many Chinese major cities such as Hangzhou
Province and Foshan
In 2011, Shui On Land earned RMB 3.43 billion in net profit attributable to shareholders, up 22% YoY, and the firm's operating revenue for last year surged 74% YoY to RMB 8.48 billion.