New World Development’s CEO Eric Ma is expected to step down, people familiar with the matter said, in another dramatic development for the Hong Kong property developer mired in leadership woes.
The company is expected to issue a statement as early as Friday afternoon about Ma’s departure from the role, the people said, asking not to be identified discussing private matters.
New World didn’t immediately respond to a request for comment.
Ma’s departure adds to the uncertainty facing the company, which posted a loss of HK$19.7 billion ($3.39 billion) for the financial year ended in June as China faces one of its worst property slumps and an economic slowdown.
Ma was meant to steady the ship after Adrian Cheng, eldest son of Cheng family patriarch Henry Cheng, resigned as New World’s CEO in late September after the company’s first loss in two decades and it’s unclear who will now take his place.
New World is planning to sell the company that operates K11 properties and other related assets to an entity owned by Adrian, 45, who created the brand that incorporates art elements into shopping malls and offices. New World will continue to own the properties under the K11 brand.
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Ma is a former government official who oversaw land development matters. He was named New World’s chief operating officer in January before taking over Adrian’s role.
In an interview last year, the elder Cheng said he was still looking for a successor for the family’s business empire and wouldn’t rule out bringing in talents from the outside. He has assigned key parts of the business group to his daughter Sonia, second son Brian and third son Christopher.
