Hongkong Land Holdings Limited has announced the divestment of its Singaporean and Malaysian residential development business, MCL Land, to Sunway Group. The transaction, valued at S$739m (US$579m), is part of Hongkong Land’s strategy to recycle capital and focus on ultra-premium commercial properties in Asian gateway cities. The sale proceeds will enhance Hongkong Land’s balance sheet and contribute US$150m to its share buyback programme.
The divestment marks a significant step in Hongkong Land’s strategic vision to exit the residential build-to-sell segment.
MCL Land, a prominent residential developer in Singapore and Malaysia for over 60 years, will continue its operations under Sunway’s ownership, with its management team remaining intact.
Michael Smith, Hongkong Land’s Chief Executive, highlighted the importance of finding the right steward for MCL Land, stating, “This is a business Hongkong Land has grown for over thirty years, with a strong brand known for quality and a robust residential development pipeline.” Sunway Group’s Executive Deputy Chair, Sarena Cheah, expressed confidence in the acquisition, noting, “This acquisition marks a decisive expansion of our footprint in one of Asia’s most competitive property markets.”
The agreement’s completion is subject to standard closing conditions and is expected to finalise before the end of 2025. This transaction aligns with Sunway’s strategy to integrate MCL Land’s expertise with its own in sustainable, mixed-use developments, aiming to accelerate growth in Singapore and key regional markets.
