Keppel sells capital worth VND8,500 billion in Saigon Sports City and Saigon Centre projects

When both deals are completed, Keppel is estimated to earn more than VND8,500 billion, equivalent to nearly USD350 million.

Keppel Group (Singapore) has just issued an announcement regarding the sale of capital in two major projects in Ho Chi Minh City, Saigon Sports City (Thu Duc City) and Saigon Centre Phase 3 (District 1).

Specifically, for the Saigon Sports City project , Keppel said its subsidiary Jencity Limited is divesting 70% of its capital at Saigon Sports Company Limited - the investor of the above project.

Jencity Limited is divesting 70% of its capital at Saigon Sports Company Limited - the investor of the Saigon Sports City project. Photo: Trong Tin

Of which, HTV Dai Phuoc Company Limited will buy 35% of the capital in two phases (phase 1 buys 5% and phase 2 buys 30%). In the first phase, Dai Phuoc will pay cash of about 320 billion VND.

Dai Phuoc will then pay Jencity a cash consideration ranging from approximately VND2,879 billion to VND3,290 billion, depending on when the transfer conditions are met and depending on the completion date, for the remaining 30% of the capital.

The second 35% buyer is Vinobly Real Estate Joint Stock Company. Vinobly will pay from VND3,359 billion to VND3,839 billion in two installments, depending on when the prerequisites are met and subject to adjustments upon completion.

The value is determined on the basis of an agreement between the buyer and seller, taking into account the net asset value of 5% estimated at about VND 137 billion, 30% estimated at about VND 821.9 billion as of June 30, 2024.

Thus, the estimated transaction value of this transaction is VND7,450 billion (equivalent to more than USD302 million). Completion of divestment depends on meeting prerequisites, including obtaining legal approvals for the project. After the transaction, Jencity Limited still holds the remaining 30% of the capital.

Saigon Sports City has an area of 64 hectares, is a complex of apartments and sports areas in the Rach Chiec sports complex. The project was started in 2019 and received a 1/500 approval decision from the Ho Chi Minh City People's Committee. When completed, the project is expected to provide the market with 4,300 luxury apartments, in addition to a sports complex, entertainment center...

For the Saigon Centre Phase 3 project, Keppel said its subsidiary Himawari VNSC3 has issued 46.3 million new ordinary shares to Toshin Development (a Japanese company). Currently, Keppel's wholly-owned subsidiary Saigon Centre Investment holds the remaining 46.5 million ordinary shares.

Toshin will buy more than 46 million common shares in Himawari, a subsidiary of Saigon Centre Investment. Photo: Le Toan

Himawari currently holds preference shares in Keppel Land Limited and Krystal Investments, which respectively hold 68% and 16% of the total shares in two other entities that own the Saigon Centre Phase 3 project.

Toshin will pay approximately $46.4 million in cash (equivalent to approximately VND1,142 billion) to subscribe for the new shares, to be paid in seven installments, with the final installment to be paid after the Saigon Centre Phase 3 project is granted a construction permit.

Saigon Centre Phase 3 is a component project of the Saigon Centre project located at 92 - 94 Nam Ky Khoi Nghia. The project has a total area of up to 2 hectares.

In which, phase 1 has a land area of 2,688 m2, a scale of 25 floors located at 65 Le Loi, which has been in use since 1996. The project has a scale of 25 floors, with functions of office rental, apartment rental and other services.

Phase 2 of the project was completed and put into operation in 2016. The 43-storey project with 7 floors of space includes 47,000 m2 of Grade A office space, 44,000 m2 of retail space and 195 luxury serviced apartments.

As for phase 3 of the project, with a total land area of 8,623 m2, it has been delayed and still cannot be built due to land issues.

Source: https://baodautu.vn/batdongsan/keppel-ban-von-tri-gia-8500-ty-dong-tai-du-an-saigon-sports-city-va-saigon-centre-d226372.html