More News
RESIDENTIAL PROPERTY | Staff Reporter, Singapore
view(s)

CapitaLand sells entire 20% interest in Macao Studio City project

CL’s divestment to its JV partner eSun Holdings Limited is for a cash consideration of approximately S$104.5 million.

According to a release by CL, completion of the Divestment is subject to the approval of eSun’s shareholders and is expected to take place no later than 15 October 2011.

CapitaLand through its wholly-owned subsidiary, CapitaLand Integrated Resorts Pte. Ltd., owns a one-third stakecomprising 100 ordinary shares in East Asia Satellite Television (Holdings) Limited. The other two-third stake in East Asia is held by eSun. East Asia and New Cotai LLC own a 60:40 stake in the MSC project through Cyber One Agents Limited. CapitaLand’s effective
interest in the MSC project is therefore 20%.

CIR has entered into a conditional agreement to divest the Sale Shares to eSun’s whollyowned subsidiary, Boom Faith Limited . The Sale Shares were purchased by CIR from Boom Faith in 2007 and as part of the conditions for the purchase, CIR was given a put option to put back the Sale Shares to Boom Faith if certain conditions are not fulfilled by September 2011. The Consideration is equal to the price which Boom Faith would have to pay CIR in the event that CIR exercises the Put Option.

Besides Boom Faith paying the Consideration, East Asia will also repay the shareholder loans advanced by Boom Faith and CIR in the amount of US$80,022,000 and US$40,011,099 (equivalent to approximately S$49.3 million) (“Shareholder Loan”), respectively. The Consideration and Shareholder Loan will be satisfied wholly in cash and will be paid on Completion.

CapitaLand’s carrying value of the Sale Shares (including the Shareholder Loan) is approximately S$145.0 million as at 30 April 2011.  

Do you know more about this story? Contact us anonymously through this link.

Click here to learn about advertising, content sponsorship, events & rountables, custom media solutions, whitepaper writing, sales leads or eDM opportunities with us.

To get a media kit and information on advertising or sponsoring click here.