Issue being considered

Kerry Properties says it is considering a US$250 million (HK$1.9 billion) issue of guaranteed convertible bonds due 2007 to finance property development operations such as its Sham Tseng development, new godowns, the Beijing Kerry Centre and the Shanghai Kerry Centre.

Pricing of the issue is expected to be announced this month. The company, which is controlled by Robert Kuok, who is also chairman of South China Morning Post (Holdings), last week announced a 209 per cent increase in 1996 net profit to $1.18 billion. It says its gearing was 11.3 per cent as at December 31.