SUNSURIA (3743) - Sunsuria to buy remaining 50% of Sime Darby Sunsuria Development for RM173.4m
April 20, 2015 : 9:01 PM MYT
KUALA LUMPUR (April 20): Sunsuria Bhd has proposed to buy the half it does not own in joint venture (JV) firm Sime Darby Sunsuria Development Sdn Bhd (SDSD) for RM173.4 million cash.
SDSD was incorporated as a 50:50 joint venture company between Sime Darby Property (Sungai Kapar) Sdn Bhd and Sunsuria’s unit, Sunsuria Gateway Sdn Bhd (SGSB), to undertake a proposed property development project known as SuriaSerenia on a plot of 331.27 acres of freehold land in Putrajaya.
In a press statement, Sunsuria (fundamental: 2.5; valuation: 0.8) said it entered into a conditional share purchase agreement with Sime Darby Property for the proposed acquisition today and that the deal is expected to be completed by the second quarter of this year.
Meanwhile, Sunsuria said it has acquired the other 50% stake in SDSD through a corporate exercise with SGSB.
The property developer had earlier executed a subscription agreement in SGSB for the subscription of RM1 million ordinary shares and RM237 million redeemable preference shares-B in SGSB, which resulted in Sunsuria effectively owning the other 50% interest in SDSD.
Following the completion of the conditional share purchase agreement with Sime Darby Property, Sunsuria will assume full control of SDSD, it added.
“This represents a significant milestone for Sunsuria to optimise the value and effective implementation of the development being a smart liveable and sustainable city,” said Sunsuria.
Sunsuria said from the proposed subscription of RM238 million in SGSB, RM168.39 million will be utilised to repay all its existing redeemable preference shares-A.
Of the RM168.39 million settlement, RM100 million is in the form of new shares to be issued by Sunsuria at an issue price of 98 sen per share.
It added RM69.61 million will be retained by Sunsuria Gateway to be utilised for inter-alia working capital purposes, including payment of the remaining unpaid land purchase consideration by SDSD.
SuriaSerenia is an integrated development surrounding the upcoming Xiamen University Malaysia Campus and is strategically connected with the Express Rail Link and highways.
Sunsuria closed 6 sen or 3.8% higher at RM1.65 today, translating into a market capitalisation of RM261.3 million
http://www.theedgemarkets.com
April 20, 2015 : 9:01 PM MYT
KUALA LUMPUR (April 20): Sunsuria Bhd has proposed to buy the half it does not own in joint venture (JV) firm Sime Darby Sunsuria Development Sdn Bhd (SDSD) for RM173.4 million cash.
SDSD was incorporated as a 50:50 joint venture company between Sime Darby Property (Sungai Kapar) Sdn Bhd and Sunsuria’s unit, Sunsuria Gateway Sdn Bhd (SGSB), to undertake a proposed property development project known as SuriaSerenia on a plot of 331.27 acres of freehold land in Putrajaya.
In a press statement, Sunsuria (fundamental: 2.5; valuation: 0.8) said it entered into a conditional share purchase agreement with Sime Darby Property for the proposed acquisition today and that the deal is expected to be completed by the second quarter of this year.
Meanwhile, Sunsuria said it has acquired the other 50% stake in SDSD through a corporate exercise with SGSB.
The property developer had earlier executed a subscription agreement in SGSB for the subscription of RM1 million ordinary shares and RM237 million redeemable preference shares-B in SGSB, which resulted in Sunsuria effectively owning the other 50% interest in SDSD.
Following the completion of the conditional share purchase agreement with Sime Darby Property, Sunsuria will assume full control of SDSD, it added.
“This represents a significant milestone for Sunsuria to optimise the value and effective implementation of the development being a smart liveable and sustainable city,” said Sunsuria.
Sunsuria said from the proposed subscription of RM238 million in SGSB, RM168.39 million will be utilised to repay all its existing redeemable preference shares-A.
Of the RM168.39 million settlement, RM100 million is in the form of new shares to be issued by Sunsuria at an issue price of 98 sen per share.
It added RM69.61 million will be retained by Sunsuria Gateway to be utilised for inter-alia working capital purposes, including payment of the remaining unpaid land purchase consideration by SDSD.
SuriaSerenia is an integrated development surrounding the upcoming Xiamen University Malaysia Campus and is strategically connected with the Express Rail Link and highways.
Sunsuria closed 6 sen or 3.8% higher at RM1.65 today, translating into a market capitalisation of RM261.3 million
http://www.theedgemarkets.com
