Since its founding in 1954, Nan Fung Textiles Limited has demonstrated a bold and insightful spirit of entrepreneurship which has seen its evolution from the core business of textiles to a leading property developer, as well as a company with diversified business interests in the region and around the world.
From its first project in 1965, the Group’s real estate portfolio has expanded to more than 130 residential, commercial, institutional and industrial developments covering in excess of 57 million square feet, making it one of the region’s most established property developers.
Laying a strong foundation for further property development and expansion into other business sectors was the 1970 public offering of Nan Fung Textiles Consolidated Limited. The company was one of the first local businesses to list on the Hong Kong Stock Exchange. In 1989, the company was privatised and returned to Nan Fung Group. This privatisation contributed greatly to the Group’s future success and increased flexibility and autonomy to tap into new business sectors.
The Group’s first major property project was Fook Cheung Mansion, followed by the landmark construction of Nan Fung Sun Chuen in 1978. This was one of Hong Kong’s largest private residential developments and featured 2,800 apartments in 12 towers, covering 1.6 million square feet. The Group continued with large scale residential development projects with shopping mall facilities in Tseung Kwan O and Ma On Shan, such as Well On Gardens and Ma On Shan Centre, both of which were completed in 1994. Then in 2003, Tseung Kwan O Plaza, one of the largest residential projects in the district with a shopping mall of 375,700 square feet was opened. In 2011 and 2012, the Group was acknowledged by industry peers for its on-going commitment to high quality and sustainable development when it was honoured with the Hong Kong Top Ten Developers Award presented by BCI Asia.
Spurred on by its local achievements, the Group’s next vision was to strategically extend its property portfolio to Mainland China in order to capture its market growth. This happened in 1993, when the Group made an important strategic move by forming a joint venture partnership with Tifen, a Tianjin developer associated with the Tianjin government, and this began the start of many profitable ventures in Beijing, Shanghai, Guangzhou, Wuxi, Dalian and Sanya.
As a result of its success in Mainland China, the Group set up a joint venture private equity real estate fund with HSBC in 2007, with an AUM of USD 700 million, which helped investors to maximise returns by acquiring, developing, renovating and selling real estate through different real estate companies. The fund was called HSBC NF China Real Estate Fund and was renamed as InfraRed NF Greater China Real Estate Fund in 2011.
The Group also achieved another landmark success in the property sector in China during 2010. Having already established a strategic partnership with Sino-Ocean Land (SEHK : 3377), one of China’s largest developers, the Group became its second largest shareholder.
The year 2012 saw two very important milestones which further solidified the Group’s local and international reputation. First, the Group received an “Investment Grade Credit Rating” from Moody’s, Standard & Poor and Fitch Ratings. This was a prestigious, rare and enviable achievement, often difficult to realise for a privately-owned company. Secondly, its strength and business acumen was recognised by the market with a successful bond issue of USD 350 million and USD 250 million raised on the Singapore Stock Exchange.