16 April 2024
Macau
Property Opportunities Fund Limited
("MPO" or
"the Company")
Update on
Macau Property Market, Divestment Programme and Repayment of
Debt
Macau Property Opportunities Fund
Limited is pleased to provide an update on recently announced
relaxations to Macau's long-standing property anti-speculation
measures, the Company's portfolio divestment programme and debt
repayment progress.
Changes to Property Cooling
Measures
The Macau government has announced
unprecedented relaxation measures to its real estate
anti-speculation policies which have been in place for over a
decade. These measures, which follow a similar move by Hong Kong in
February, include the axing of prevailing special stamp duty
requirements and improving loan-to-value ("LTV") ratio ceilings for
mortgage loans.
Under the proposed amendments,
all existing anti-speculation measures will be removed,
including:
o Stamp duty levied on properties resold within 24 months after
being purchased
o An
extra 10% duty imposed on foreign
buyers
o An
5% extra duty on additional ownership
The maximum mortgage LTV ratio
ceiling for foreign buyers has also been increased from c.40% to
70%.
These policy changes are welcomed by
the Company which is likely to benefit from an increase in interest
for luxury residential properties which constitute the remainder of
MPO's portfolio exposure.
The proposed policy amendments are
subject to formal ratification by Macau's Legislative Assembly and
are expected to become effective in the near future, following a
fast-tracked approval process.
Divestment Programme and Debt
Position Update
The Company is also pleased to
provide an update on its divestment progress and debt position,
following the most recent information provided to shareholders in
its Interim Results in early March.
Since the end of 2023, MPO has
successfully divested a further six units in The Waterside worth a
combined gross value of HK$139.7 million (c.US$17.9 million.)
This brings the total number of units divested at The Waterside
since the programme commenced to 24, raising a total of HK$525.0
million (US$67.1 million) in gross proceeds. 35 units remain
available for sale.
While negotiations are ongoing in an
improving market, no further sales have as yet been secured at The
Fountainside or Penha Heights.
Following the completion of these
latest divestments, the Company's total debt will fall to c.
US$79.3 million from US$96.5 million, with its corresponding
loan-to-value ratio declining to c.47% from c.51%.
The Manager continues to focus on
securing further asset sales to reduce debt further and meet all
the Company's financial obligations.
- End -
About Macau Property Opportunities Fund
Premium listed on the London Stock
Exchange, Macau Property Opportunities Fund
Limited is a closed-end
investment company registered in Guernsey and is the only quoted
property fund dedicated to investing in Macau, the world's leading
gaming market and the only city in China where gaming is
legalised.
Launched in 2006, the Company
targets strategic property investment and development opportunities
in Macau. Its current portfolio comprises prime residential
property assets.
The Company is managed by
Sniper
Capital Limited, an Asia-based
property investment manager with an established track record in
fund management and investment advisory.
Stock Code
London Stock Exchange:
MPO
LEI
213800NOAO11OWIMLR72
For further information:
Manager
Sniper Capital Limited
Group Communications
Tel: +853 2870 5151
Email: info@snipercapital.com
Corporate Broker
Liberum Capital
Darren Vickers / Owen
Matthews
Tel: +44 20 3100 2234
Company Secretary & Administrator
Ocorian Administration (Guernsey)
Limited
Kevin Smith
Tel: +44 14 8174 2742