The purchase price of the property reflects the carrying value of the property by Mandarin Oriental as of June 30, 2025, based on a market valuation of the property prepared by an
independent valuation firm.
The property represents 36% of the total value of Mandarin Oriental’s tangible fixed assets and investment properties.
Mandarin Oriental will repay borrowings of US$96 million drawn for construction of the property and will retain up to 3% of gross proceeds to fund the remaining construction cost of One Causeway Bay.
The company will provide the purchasers with a fixed sum of US$37 million towards planned
enhancements to the property. The remaining proceeds, after selling expenses, are expected to amount to approximately US$758m and will be distributed to shareholders via a special dividend.
See also: Who stands to gain from SingLand’s Marina Square redevelopment?
Shares in Mandarin Oriental closed 1 US cent higher or 0.42% up at US$2.40 on Oct 17.
