The Cross-Harbour (Holdings)

The Cross-Harbour (Holdings)
FormerlyThe Cross-Harbour Tunnel Company, Limited
SEHK: 32
IndustryInvestment
Founded26 April 1965; 59 years ago (1965-04-26) (The Cross-Harbour Tunnel Company, Limited)[1]
HeadquartersRooms 3301-07, China Resources Building, 26 Harbour Road, Wan Chai, Hong Kong
Websitewww.crossharbour.com.hk
The Cross-Harbour
Chinese港通控股有限公司
Transcriptions
Yue: Cantonese
JyutpingGong2 tung1 hung3 gu2 jau5 haan6 gung1 si1

The Cross-Harbour (Holdings) Limited (CHHL) (SEHK: 32), formerly the Cross-Harbour Tunnel Company, is a Hong Kong investment holding company with emphasis on transport infrastructures.

History

The Cross-Harbour Tunnel Company Limited was incorporated with a nominal capital of HK$10 million in 1965. The company was backed by Wheelock Marden.[2]

CHHL owned the franchise to build and operate the Cross-Harbour Tunnel up to 1999. Thereafter, CHHL, through an associated company, operated the Cross-Harbour Tunnel under a renewable management, operation and maintenance contract with the Government of Hong Kong until 31 October 2010.[3] From 1 November 2010, the tunnel management passed to Serco Group.[4]

The Cross-Harbour Tunnel Company also managed the Aberdeen Tunnel in the 1990s.

On 17 May 2000, the company's name was changed from Cross-Harbour Tunnel Company to Cross-Harbour (Holdings).[5]

In 2001, Wharf Holdings sold its 26.7 per cent stake in the company to Prestige Properties Holdings Ltd. for HK$614.1 million.[6][7]

Investments

CHHL together with its wholly owned subsidiary hold a 50 per cent stake in Western Harbour Tunnel Company Limited (WHTCL). WHTCL owns the franchise to build and operate the Western Harbour Crossing from 1993 up to 2023.

In 2008, CHHL acquired a 39.5% effective interest in Tate's Cairn Tunnel Company Limited (TCTC). TCTC owned the franchise to build and operate the Tate's Cairn Tunnel from 1988 to 2018.

CHHL has a 70% stake in The Hong Kong School of Motoring (HKSM). HKSM operates three designated driving schools in Hong Kong. CHHL also has a 70% stake in a company which owns half of Autotoll Limited. Autotoll provides electronic toll clearing facilities in Hong Kong covering eleven different toll roads and tunnels.

On 5 June 2019, an Australian based fund manager, Lanyon Asset Management Pty Limited, made a cash offer to acquire the 50% interest in the WHTCL from CHHL.[8]

On 11 June 2019, Lanyon’s offer was rejected by CHHL. Lanyon cited this was in the best interest of shareholders. [citation needed]

Subsequently, on 13 August 2019, Lanyon outlined a strategy[8] for CHHL to liquidate their securities portfolio, sell the company yacht and return the surplus cash to CHHL shareholders as a special dividend. Lanyon suggested their initiatives would enable the payment of a special dividend of HK$16.80 per share (or 160% of the current share price). [citation needed]

References

  1. ^ About Cross-Harbour, The Cross-Harbour (Holdings), retrieved 2013-11-25
  2. ^ "Firm Formed For Colony Tunnel Link". South China Morning Post. 25 May 1965. p. 1.
  3. ^ "Annual Report (2010)" (PDF). The Cross-Harbour (Holdings) Limited. 2011. p. 11.
  4. ^ "Serco Hong Kong Business Overview" (PDF). Serco Group. October 2011. p. 2.
  5. ^ "New name, same tunnel". South China Morning Post. 18 May 2000. p. Business 2.
  6. ^ "Wharf Sells Its Stake In Cross-Harbour To Prestige Properties". The Asian Wall Street Journal. 23 March 2001. p. M3.
  7. ^ Tsang, Denise (23 March 2001). "Prestige pays Wharf $614m for tunnel vision". South China Morning Post. p. Business 2.
  8. ^ a b "About Lanyon". www.lanyonam.com. Retrieved 2019-08-19.