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Mandarin Oriental International Ltd on Wednesday said it had sold its head office assets in Hong Kong, as majority owner Jardine Matheson Holdings Ltd prepares to take full control of the company. Back in October, Hong Kong-based Jardine reported that it will acquire the remaining 12% of the luxury hotel operator it does not already own. Jardine’s offer values Mandarin Oriental at roughly $4.2 billion. Per share, the hotel operator’s investors will receive $2.75 in cash, plus a special dividend of 60 US cents. The acquisition requires Mandarin Oriental to sell parts of One Causeway Bay, the skyscraper housing its HQ, in a $925 million deal. The buyers are Chinese online retailer Alibaba Group Holding Ltd and its fintech-focused subsidiary Ant Group Ltd. As of Wednesday, the sale has closed, with Mandarin Oriental retaining 286,984 square feet of office space and 82,550 sq ft of retail space via subsidiary One Causeway Bay Ltd. The hotel operator has agreed to pay $37 million for property enhancements. The remaining proceeds of $758 million are being distributed to shareholders through a special dividend of 60c per share, as confirmed on Wednesday. As a result, Jardine Matheson expects full ownership of the hotel firm to come into effect on January 19, provided the deal is sanctioned at a January 15 court hearing. The payout from the Hong Kong office sale is due January 22, with Mandarin Oriental going ex-dividend on January 8. Share registers will be closed from January 12 to 15. Jersey investors will be allocated an equivalent payout in sterling, based on the January 9 exchange rate. Investors who have not converted shares held via the Central Depository Pte Ltd will be paid in Singaporean dollars. Jardine Matheson shares closed down 0.7% at $68.39 on Wednesday in Singapore. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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