, Singapore

City Developments divests Seoul hotel for $1.26b

The proposed divestment will be completed by Q1 2022.

City Developments Limited (CDL), through CDL Hotels (Korea) Limited, has entered into a sale and purchase agreement with YD427 PFV Co., Ltd, an entity managed by IGIS Asset Management Co. Ltd. The agreement was for the proposed divestment of Millennium Hilton Seoul and the adjoining land plot in Korea for approximately $1.26b (KRW 1.1t). IGIS Asset Management is one of the largest real estate managers in Korea.

The 22-storey Millennium Hilton Seoul was operated by Hilton Hotels & Resorts under a management contract. The hotel building comprises 680 guest rooms and 29 suites, a business centre, fitness centre, pool, area used for the casino and retail shops, restaurants and bar facilities and other associated facilities and amenities.

Upon completion of the proposed divestment, the group will have an estimated gain in the income statement of $529.73m, net of taxes and related transaction costs.

The proposed divestment, expected to be completed by 28 February 2022, is in line with the acceleration of the CDL Group's capital recycling strategy to unlock latent value from its long-held assets.

KRW 0.00115 = $1.00

Follow the link for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

How investor stewardship puts companies in a win-win state
Stewardship Asia Centre CEO says a company’s failure to take care of society is a failure to take care of its stakeholders.
Creating harmony in a heterogonous workforce 
An HR expert said tests like DISC can help identify which employees can work best together.