Wharf's Spin-off Plan

Shares in Wharf Holdings, Hong Kong's biggest mall landlord, surged more than 10% yesterday after local media reported the company would spin off its investment properties for individual listing.

Local media reported the spin-off proposal "has been approved by the Hong Kong Stock Exchange", but up till today, there has not been any official filing of the spin-off listing from the listed entity yet.

"The application for the listing of Wharf REIC has not yet been submitted to the stock exchange yet. The implementation of the demerger is subject to the final decisions of the boards of directors of Wheelock, the Company and Wharf REIC. "Shareholders and potential investors of the company should be aware that there is no assurance that the proposed demerger and separate listing of Wharf REIC will take place or as to when it may take place." Wharf said. Wheelock is the parent company of Wharf Holdings.

On the same day, Wharf Holdings also announced its interim results - net profit increased 26% year-on-year to HKD8.44billion and interim dividend per share is 64 HK cents.

Shares of Wharf closed at HKD79.65 yesterday, up 14%, they fell 7.5% at the earlier trading hours today.

- APMR News