Keppel Corp. said on Friday that two wholly owned subsidiaries of Keppel Land, Topalle and Valicour, will be divesting their interests in two Bangkok residential sites to KPN Land Co. for a total of 165.5 million Thai baht, or around S$6.9 million, in cash.
The sites are KPN-Keppel Alliance (SK19) and KPN-Keppel Alliance (SK28), which are located at Sukhumvit soi 19 and Sukhumvit soi 28, respectively, in Bangkok, it said in a filing to SGX after the market close on Friday.
Under the deal, Topalle will sell 245,000 shares, or a 49 percent stake, in SK19, and Valicour will sell 4,900 shares, or a 49 percent stake in SK28 to KPN, it said. After the deal is complete, SK19 and SK28 will cease to be associated companies of Keppel and Keppel Land, it said.
The unaudited net asset values of SK19 and SK28 were both around S$20,000 as of the end of October, it said.
The sales proceeds will be used to pursue other opportunities, Keppel said, adding it expects to post a small gain on the proposed divestment.