HONGKONG China, a subsidiary of Hong Kong-listed Lippo, has agreed to acquire $633 million worth of convertible bonds and 70 million shares, worth $707 million, in Lippo Karawaci, the developer of Lippo's Jakarta satellite town, from Lippo Capital. The sale bonds, which are due in 2003, are convertible into 62.6 million shares in Lippo Karawaci at a conversion price of roughly $1.77 a share when the property developer is spun off from the group. An initial public offering of 30.8 million shares is planned on the Jakarta exchange in June. After the IPO and assuming full conversion of the bonds, Hongkong China will hold approximately 34.9 per cent of Lippo Karawaci's enlarged capital. The Riady family, which runs Lippo, will hold 45.8 per cent.