Industry Real property Founded 1970 | Founder Cheng Yu-tung Headquarters Hong Kong | |
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Type Public Company (SEHK: 0017, OTC Pink: NDVLY) Key people Henry Cheng (Chairman & Executive Director)
Adrian Cheng（Executive Vice-chairman and Joint General Manager）
Mr. Chen Guanzhan（Executive Director and Joint General Manager） Products Real property, Hotel, Infrastructure and Services, General merchandise Revenue HK $556.5 billion (as of financial year 2014) Owner Chow Tai Fook Enterprises Limited Stock price 0017 (HKG) HK$ 9.77 -0.15 (-1.51%)24 Mar, 4:09 PM GMT+8 - Disclaimer Subsidiaries New World Department Store China, NWS Holdings | ||
New World Development Company Limited (NWD), is based in Hong Kong focusing on property, infrastructure and services, department stores and hotels. It was established in 1970 by Cheng Yu-tung. The company is publicly listed on the Hong Kong Stock Exchange (SEHK: 00017, OTC Pink: NDVLY) since 23 November 1972 and is a constituent stock of Hong Kong Hang Seng Index.
Contents
- Milestones
- Group structure and subsidiary
- Board of directors
- Land banking
- Hung Hom Peninsula
- Leung Chin man
- Avenue of Stars
- References
Over the last four decades, the group has also actively participated in various businesses in Mainland China and established itself as one of the largest foreign direct investors in the country. Its notable subsidiaries include the Rosewood Hotel Group, formerly New World Hospitality and renamed after its acquisition of Rosewood Hotels & Resorts. The group's existing investments in Mainland China has exceeded US$16.5 billion, spreading across four municipalities and over 19 provinces.
Milestones
Group structure and subsidiary
New World Development Company Limited and Chow Tai Fook Jewellery Group Limited are both owned by Chow Tai Fook (Holding) Limited. The Group's two listed companies are NWS Holdings Limited and New World Department Store China Limited. New World China Land Limited is wholly owned by the Group.
Board of directors
Land banking
New World Development Company Limited is one of the Hong Kong companies who have a large landbank. As at 31 December 2014, the group had a landbank of around 9.25 million sq ft, of which around 5.3 million sq ft was residential property. The group had a total of approximately 18.3 million sq ft of attributableagricultural land reserve pending for conversion.
Hung Hom Peninsula
One such project, the Hung Hom Peninsula, was sold for a below-market land premium of HK$864 million to New World Development, who subsequently sold off half share to Sun Hung Kai Properties. In 2004, the consortium announced the demolition of these buildings to make way for luxury apartments, to be faced with huge popular outcry about the needless destruction of "perfectly good buildings" to satisfy "corporate greed". In an unprecedented about-turn, the developers withdrew the plan on December 10, 2004.
Leung Chin-man
In 2008, New World was the subject of controversy when it announced it had hired former Permanent Secretary for Housing, Planning and Lands Leung Chin-man as deputy managing director and executive director of its China subsidiary, New World China Land Ltd. The Secretary for the Civil Service Denise Yue Chung-yee, signed off on the approval for him to take up the job within three years of leaving, failing to take into account the appearance of conflict of interest resulting from the Hung Hom Peninsula affair. New World argued that they hired Leung in good faith, after the government had given clearance. New World announced in the early hours of 16 August that the parties had agreed to rescind the contract.
Avenue of Stars
The company has managed the Avenue of Stars for 11 years, and its contract is due to expire. It was announced that the Leisure and Cultural Services Department of the Hong Kong government would redevelop and expand the avenue jointly with the company. The Hong Kong government declared that the enhancement project would contain limited commercial appeal, and no luxury shops or high-end restaurants would be added. The walkway, very popular with tourists, is to be closed off for three years while the expansion is undertaken.
The decision to award the contract for the redevelopment to the company without putting it out to tender, on the justification that the project was non-profit, sparked controversy locally. Residents' groups and other development companies owning properties adjacent to the walk expressed discontent, whilst the LCSD claimed that consultations with the local district council had been favourable. In an apparent attempt to de-fuse the public furore at the apparent collusion between government and big business, the government promised a public consultation.