Keppel Land’s wholly owned subsidiary DC REIT Holdings, or DCRH, has entered a deal to acquire the 77.6 percent it didn’t already own of PRE 1 Investments, which owns 112 Katong, a property at 112 East Coast Road in Singapore, for S$56.6 million, Keppel Corp. said in a filing to SGX on Thursday.
The acquisition will be of the remaining 35.30 million ordinary shares and 478 preference shares of PRE 1 Investments, it said.
DCRH also entered a deal to acquire the remaining 77 ordinary shares of Katong AMC, or a 77 percent stake, it didn’t already own for a nominal consideration of S$1.00, it said.
Katong AMC is the trust manager of Katong Retail Trust, a special purpose trust through which PRE 1 held the property, it said.
Both PRE 1 and Katong AMC are subsidiaries of Alpha Asia Macro Trends Fund, it said. The nominal consideration for Katong AMC was as part of AAMTF’s exit from the property, it said.
DCRH had held 22.4 percent of PRE 1 and 23 percent of Katong AMC previously, it said.
The entire property has an agreed value of S$360.0 million, Keppel said in the filing.
“The property is strategically located in an affluent and thriving residential precinct whose connectivity will be further enhanced with the completion of the upcoming Thomson-East Coast Line,” Keppel said. “Following the consolidation of ownership in the property, Keppel Land will explore ways to further improve the property through asset enhancement works and the introduction of new concept offerings.”
Keppel Land is the property arm of conglomerate Keppel Corp.