GuocoLand Limited (“GLL”) wishes to announce that First Capital Asia Land Pte Ltd (“FCAL”), its wholly-owned subsidiary, has today been notified in writing that its tender for the en bloc purchase of the freehold property comprised in Lot 420X and Lot 406M both of Town Subdivision 19 and known as Sophia Court (the “Property”) has been accepted by the registered subsidiary proprietors of the units of Sophia Court owning not less than 80% of the share values in the said development (collectively, the “Vendor”) (collectively, the “Acquisition”). The total purchase consideration for the Property is S$230 million and was agreed upon on a willing buyer and willing seller basis.
FCAL will pay a deposit of S$22 million, being 10% of the total purchase consideration less a tender fee of S$1 million, within 7 days from the date hereof, to the Vendor’s solicitors as stakeholders, pending completion of the Acquisition. The Acquisition is in the ordinary course of business of the GLL Group.
The Property is located at Mount Sophia nestling in the vicinity of Orchard Road, within walking distance of the Dhoby Ghaut MRT station. It comprises a site area of 166,140 square feet. The Acquisition is conditional upon, inter alia:-
- approval for the sale of the Property being obtained from the Strata Titles Board (the “Board”) constituted under the Land Titles (Strata) Act for the collective sale of the Property by all the registered subsidiary proprietors of the units comprised in the Property (the “Board’s Approval”);
- FCAL obtaining a qualifying certificate from the Controller of Residential Property for the acquisition of the Property; and
- FCAL obtaining provisional permission from the competent authority to develop on the Property a residential development with inter alia, a plot ratio of 2.1.
Subject to all conditions of the sale and purchase being satisfied, including title being in order and free from encumbrances, completion of the Acquisition is scheduled to take place 3 months after the date of the Board’s Approval or the Vendor’s written notice informing FCAL that all the registered subsidiary proprietors of the units comprised in the Property have agreed to the sale of the Property, whichever is applicable, provided that completion shall take place no later than 12 months after the Vendor’s receipt of FCAL’s notification that it has obtained provisional permission.
If the Acquisition of the Property is duly completed, the purchase consideration and development of the Property will be financed from internal resources and bank borrowings.
The Acquisition is not expected to have any material effect on the net tangible assets per share or earnings per share of the GLL Group for the current financial year ending 30 June 2007.
GLL is not aware of any of its Directors or substantial shareholders having any interest, direct or indirect in the Acquisition.
