Lai Sun Development has announced the commencement of an exchange offer and consent solicitation for its existing 5% notes due 2026. The primary objectives of this move are to alleviate the group's short-term liquidity pressure, provide additional time to sell certain designated assets to maximize their value, and allow the group to use the proceeds from these sales to repay the new notes.

The new US dollar notes will have a three-year term and will bear interest at an annual rate of 8%, payable semi-annually. As of the announcement date, the outstanding principal amount of the existing notes is $493 million.

For each $1,000 of principal amount of the existing notes, noteholders will be eligible to receive: (i) if the sale proceeds condition related to a specific asset (3CRC) is met, a cash payment of $300 and $700 principal amount of new notes; or (ii) if that condition is not met, $1,000 principal amount of new notes.

The group has been actively engaged in refinancing its borrowings with multiple creditors to improve its overall liquidity position. Over the past 12 months, the group has successfully completed a series of refinancing transactions with a combined principal amount exceeding HK$7 billion.

As part of its ongoing measures to manage liquidity, the group has also entered into agreements for the sale of certain assets. These agreements include: (i) a proposed disposal of interests related to the 3CRC asset, the completion of which is subject to the fulfillment of required administrative and procedural steps in the People's Republic of China for settlement, with a further announcement to be made once the relevant conditions are met; and (ii) a proposed sale of the group's 80% equity interest in Camper & Nicholsons International S.A., the completion of which is subject to approval by the guarantor's shareholders at an extraordinary general meeting expected to be held on June 29, 2026, and is currently anticipated to be completed on or around July 14, 2026, following such approval.