Hongkong Land announced on Sept 18 that it has signed an agreement to divest MCL Land — its Singaporean and Malaysian residential development business — to Malaysian conglomerate Sunway Group, which has a property development arm under Sunway Property.

Sunway is acquiring MCL Land at its net asset value of $739 million, to be settled in cash. The deal raises Hongkong Land’s total capital recycled since 2024 to $2.56 billion (US$2 billion), or 50% of its target of at least US$4 billion by end-2027.

Hongkong Land says the proceeds will strengthen its balance sheet and contribute an additional US$150 million to its ongoing share-buyback programme.
“We will keep investing in the unique, world-class commercial property assets we have in Singapore, a market that is central to Hongkong Land’s future as we deliver on our strategic vision,” says Michael Smith, CEO of Hongkong Land. He adds that capital will be redeployed into “developing and managing ultra-premium integrated commercial properties in Asian gateway cities”.

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For Sunway Group, the acquisition is its largest deal to date, bringing its total investment in Singapore to over $1.2 billion since July. Sunway will assume ownership of MCL Land and its subsidiaries, including all ongoing development projects in Singapore and its portfolio of income-generating and development assets in Malaysia.

Sunway says all of MCL Land’s ongoing projects will proceed, giving it immediate earnings visibility and boosting its unbilled sales in Singapore from $614 million to nearly $1.8 billion.

“By integrating MCL Land’s deep local market expertise with Sunway’s track record in sustainable, mixed-use developments, we are building a robust platform to accelerate growth, not only in Singapore but across key regional markets,” says Serena Cheah, Sunway’s executive deputy chair. “This is not just a transaction; it’s a strategic alignment that positions us to shape the future of integrated development and urban living in Southeast Asia.”