Greenland Hong Kong Holdings raises money

Greenland Hong Kong Holdings Ltd said its $8 billion real estate fund co-established with Kuwait Strategic Investor has raised $300 million in the first phase, but it has shelved plans to buy a stake in a luxury New York City development from its Kuwait partner. It would also purchase around a 41 percent interest in New York's Park Lane real estate project from Kuwait Strategic Investor, paying for it with the company's convertible preferred shares. "After due diligence, we realised the asset was not mature and suggested to shelve the purchase," Greenland Hong Kong Chairman Chen Jun told. The company, diversifying into internet finance to counter thinning margins faced by the real estate industry, will see its financial services unit posting a profit this year - the first for the financial full-year after it was set up, and the profit will double next year, Chen said. Jack Yang, president of Greenland Financial Services, added Greenland HK plans to spin off the unit after three years.