24th Sep 2015 09:20
LONDON (Alliance News) - Aseana Properties Ltd on Thursday said its subsidiary ASPL PLB Ltd has entered into an agreement with Nam Long Investment Corp and Nam Khang Construction Investment Development Ltd Liability Co to dispose of its 55% stake in ASPL PLB-Nam Long Ltd Liability Co for a total cash consideration of USD9.3 million.
The property developer in Malaysia and Vietnam said that the consideration includes repayment of shareholder loans to ASPL PLB.
ASPL PLB-Nam Long is a joint venture between Aseana and Nam Long, and is the developer of the Waterside Estates residential project in Ho Chi Minh City in Vietnam.
The divestment by Aseana comes earlier than originally planned, initially scheduled for the first quarter of 2016.
Approximately USD1.9 million will be paid to Aseana upon entering into the agreement, and the transaction is expected to complete in December 2015. The proceeds from the sale will be applied towards a pool of capital to be returned to the shareholders of Aseana, subject to working capital requirements and consent from financiers of Aseana, it said.
"The disposal of our stake in the project is in line with the strategy of the company to realise existing assets and to return capital to shareholders in an orderly manner. We will be announcing the details of Aseana's first capital distribution in due course," Chairman Dato' Mohammed Azlan Hashim said in a statement.
Shares in Aseana Properties were trading down 4.1% at 0.525 pence Thursday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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