SINGAPORE: Singapore's Keppel said on Tuesday it would sell a 51 per cent stake in K-Commercial, the entity that owns the Keppel South Central office building, to Keppel REIT for about S$611 million (US$477.42 million).
Here are the details:
The asset manager said the transaction would bring its announced asset monetisation so far this year to S$3.7 billion
The consideration comprises S$149 million for the equity stake and about S$462 million for the repayment of a shareholder loan extended by Keppel to K-Commercial
Keppel will retain a 49 per cent stake in K-Commercial, while its real estate division will continue to provide property management and leasing services to Keppel South Central
Keppel will also have a call option to re-acquire the 51 per cent equity stake for a nominal consideration after 70 years
The divestment is expected to be completed in the second quarter of 2027
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