HONG KONG LAND <HKLD.HK> DETAILS MANDARIN SPIN-OFF
Hong Kong Land Co Ltd <HKLD.HK> gave
details of a previously announced spin-off of its 80 pct stake
in <Mandarin Oriental International Ltd> and a 32 pct stake in
<Jardine Strategic Holdings Ltd> (JSH).
    An offer document prepared by financial adviser <Jardine
Fleming (Securities) Ltd> said Hong Kong Land offers
shareholders 200 Mandarin shares at 1.54 H.K. Dlrs each and 93
JSH shares at 3.28 dlrs each for every 1,000 Hong Kong Land
shares. But price of Mandarin may be lowered to 1.43 dlrs each,
while shareholders may instead receive 86 JSH shares if all
Hong Kong Land's existing warrants are exercised before April
28.
    Hong Kong Land warrants are worth 725.92 mln dlrs.
    Holders of the firm's 151.89 mln preference shares will
receive a similar offer as ordinary shareholders.
    The company also agreed to sell a 20 pct stake in Mandarin
to Jardine Strategic for some 430 mln dlrs.
    Hong Kong Land said last month it is expected to receive
net proceeds of about 900 mln dlrs from the spin-off and the
sum will be used either for expansion or to reduce its debts.
    Hong Kong Land shares gained 30 cts to close at eight dlrs
each yesterday, while JSH was up 50 cts at 12.90 dlrs.
    Mandarin will commence trading on June 8.
 REUTER
