New World Development announced on Monday that the group has completed approximately HK$35 billion in loan arrangements and debt repayments since January 2024. The group also maintains low costs for its offshore loans, with an average interest rate of approximately 1.1 percent above the HIBOR, it said.
Meanwhile, the group said it obtained new bank loans to further strengthen its liquidity, having increased the proportion of RMB loans to further reduce overall financing costs, including an onshore 15-year loan of RMB 2 billion with a fixed interest rate of 3.0 percent, and an onshore 10-year loan of RMB 600 million with a fixed interest rate of 2.9 percent.
Several other onshore loans are also under discussion, it added.
Separately, the group said a refinancing of the hotel loan for joint venture with Abu Dhabi Investment Authority was completed successfully with total loan amount of HK$9.5 billion.
Of this, the original HK$9.25 billion loan was refinanced with additional new money of HK$260 million, the group noted.
The group said given the volatile market environment, it continued with its treasury management strategy to reduce interest costs, extend debt durations and mitigate risks related to foreign exchange and interest rate fluctuations.
“The successful loan arrangement reflects the Group’s solid financial management capabilities and the strong support it received from banks. The Group will continue to optimize its loan portfolio and seek low-cost onshore loans in order to effectively control financing costs and maintain a solid financial position,” it said.
Hong Kong United Times丨香港聯合時報丨HKUT 