InterContinental group to sell HK hotel for US$938 million

Hong Kong

INTERCONTINENTAL Hotels Group Plc has agreed to sell the InterContinental Hong Kong to a group of investors advised and managed by Gaw Capital Partners for US$938 million.

InterContinental will retain a 37-year management contract for the hotel, the Denham, England-based company said in a statement on Friday. It will make a US$700 million pretax profit from the sale, with an estimated non-cash tax charge of US$40 million, according to the statement.