Gateway Real Estate Fund VI, L.P., fund managed by Gaw Capital Partners entered into an agreement to acquire 50% stake in Island Land Development Limited from Swire Properties Limited (SEHK:1972) for HKD 2.4 billion on May 21, 2019. Under the terms of the transaction Gateway will acquire 50 ordinary shares, representing 50% stake in Island Land Development and assign all shareholder’s loans owing by Island Land Development Limited to Swire Properties Limited. The consideration is subject to net asset value adjustment. In a related transaction, Gateway entered into the sale and purchase agreement to acquire 50% stake in Island Land Development Limited from China Motor Bus Company, Limited for HKD 2.4 billion on May 21, 2019. Island Land Development had net profit after taxation of HKD 358.21 million and net asset value of HKD 2474.67 million for the year ended December 31, 2018. Completion of the transaction and completion of the sale of the remaining 50% interest in Island Land Development Limited by China Motor Bus Company, Limited to Gateway Real Estate Fund VI, shall take place simultaneously. Long stop date for the transaction is September 16, 2019. The proceeds from the transaction will be applied towards the general working capital requirements of Swire Properties. Clara Chang, Kan Chen, Will McAuliffe and Taoye Ye of Allen & Overy LLP acted as legal advisors to Swire Properties Limited.