Appeal judges yesterday ordered the majority shareholder of a listed company to share with his former wife half of the expected benefits from a redevelopment valued at up to HK$665 million.
They said Mimi Wong Hung Kar-Kee had put her own efforts into the business along with ex-husband Raymond Hung Kin-Sang and deserved her share.
The ruling comes on top of a HK$161 million payment ordered in the Family Court last year - which the three judges topped up by HK$3.9 million yesterday.
Hung's company, Applied Development Holdings Limited, owns four of six units at Severn Villa on The Peak, and yesterday's order requires him to share any increase in value as a result of redevelopment.
"The wife is not seeking to get the upside, but not the downside of the shares either," Mr Justice Peter Cheung Chak-yau said.
"She is only asking for an uplift in the event of redevelopment of this property and not for [any] other purpose."
He said the company was established by the joint efforts of the husband and the wife during a 37-year marriage.
The court heard that the couple, now both 65, met when they were studying in the US. They married in April 1973, and had two daughters and a son.
In 1975, the couple founded Applied Electronics Limited. The company went public and was listed on the stock exchange as Applied Development Holdings Limited (ADHL) in 1986.
But Hung was involved with other women and from 1987 had four more children.
His wife asked for a divorce in 1999 and he remarried in 2010.
Before the second marriage, the couple continued to manage the company together.
When ordering Hung to pay his ex-wife HK$161 million for her shares in the company, the Family Court did not take into account Severn Villa, where ADHL bought the four units in 2002. They are now valued at HK$230 million but the appeal court heard that Hung was showing interest in selling the units for redevelopment which could see their value rise to HK$665 million.
Cheung, with Mr Justice Johnson Lam Man-hon and Mr Justice Joseph Fok, also found that the Family Court's calculation of the value of the shares was wrong and ordered Hung to pay HK$3.9 million more.
But the court made no order in respect of an estimated HK$1 billion collection of furniture, jewellery and art.
It said the Family Court had already dealt with how these should be distributed.
The items include world renowned furniture called the Hung Collection, bought by Wong with company funds and valued at more than HK$749 million.
The couple also collected jewellery and paintings by artists including Chang Dai-chien.