SHUN TAK HOLD (00242.HK): completion deadline for Macau land acquisition further extended to 17 December 2029
NewTimeSpace News: SHUN TAK HOLD (00242.HK) announced that, under the sale and purchase agreement, Shun Tak Nam Wan, a wholly-owned subsidiary of the Company, has conditionally agreed to acquire from West Lake the entire issued share capital of certain companies expected to hold the land development rights over certain property sites in Macau, for a total consideration of HK$1.5 billion. As more time is expected to be required for negotiations with the relevant government authorities on obtaining the replacement sites, Shun Tak Nam Wan, the Company and West Lake entered into an extension agreement on 28 October 2026 to further extend the long-stop date for completion of the sale and purchase agreement to 17 December 2029.
According to the announcement, the parties had previously entered into the agreement which, among other things, extended the long-stop date for completion of the sale and purchase agreement and put in place arrangements enabling Shun Tak Nam Wan to negotiate directly with the Macau government on the replacement sites. Under that agreement, Shun Tak Nam Wan may either obtain replacement sites satisfactory to it and pay the pro-rata consideration, whereupon the sale and purchase agreement shall lapse simultaneously, or revoke the arrangement and require West Lake to refund the deposit paid under the sale and purchase agreement. Accordingly, the long-stop date for completion had been extended to the date of the relevant payment or revocation event under that agreement and in any event not later than 31 October 2026.
As at the date of the announcement, the sale and purchase agreement has not completed and no payment or revocation event contemplated under that agreement has occurred. Save for the further extension of the long-stop date, all other terms and conditions of the sale and purchase agreement and that agreement remain unchanged. The sale and purchase agreement and that agreement were previously approved by the Company's independent shareholders in accordance with the Listing Rules.
