Keppel Land buys 36% more interest in Kingsdale Development

Keppel Land said wholly-owned subsidiary, Kingsley Investment, has entered into a sale and purchase agreement with Hong Lim Investments, Prime Growth Investments and Penfield Company to acquire a total of 54,000 shares in Kingsdale Development for US$38.6 million ($47.3 million) and shareholders’ loans of US$22.64 million for US$61.27 million.
This means the total cost of acquisition of shares and loans amount of US$61.27 million which will be satisfied fully in cash.

The 54,000 shares represent 36% of the total issued share capital of Kingsdale.

Prior to the shares acquisition, Keppel Land owns 50% of the total issued share capital of Kingsdale through Spring City Resort, an indirect wholly-owned subsidiary of Keppel Land.

Incorporated in Singapore, Kingsdale owns an 80% stake in Spring City Golf & Lake Resort in Kunming, China. Spring City is an integrated resort comprising two championship golf courses as well as resort homes for sale over several phases.

Post-acquisition, Kingsley Investment owns 36% of the total issued share capital of Kingsdale. Prime Growth and KMP China Investments own the remaining 14% of the total issued share capital of Kingsdale.

The audited net asset value attributable to the sale shares as at 31 December 2011 was $5.1 million.

Hong Lim Investments is an indirect wholly-owned subsidiary of Temasek Holdings which is deemed to be a controlling shareholder of Keppel Land through Keppel Corporation.