Mandarin Oriental International has finalized the sale of 13 floors at One Causeway Bay to Alibaba and Ant Group for US$925 million (approximately $1.2 billion).

The acquisition serves as the headquarters for Alibaba and Ant Group in Hong Kong, which includes rooftop signage rights and 50 parking spaces. The total area of the property is 301,555 square feet.

The purchase price is aligned with the property’s carrying value as assessed by Mandarin Oriental as of June 30, 2025, based on an independent market valuation.

The property constitutes 36% of the overall value of Mandarin Oriental’s tangible fixed assets and investment properties.

Mandarin Oriental plans to repay US$96 million in borrowings that were used for the property’s construction and will retain up to 3% of the gross proceeds to finance the remaining construction costs of One Causeway Bay.

Additionally, the company will allocate a fixed amount of US$37 million to the purchasers for intended enhancements to the property. After accounting for selling expenses, the remaining proceeds are anticipated to reach approximately US$758 million, which will be distributed to shareholders as a special dividend.

On October 17, shares of Mandarin Oriental closed up by 1 US cent, or 0.42%, at US$2.40.