Malaysia’s government-linked investment funds Permodalan Nasional Bhd (PNB) and the Employees Provident Fund (EPF) on Thursday announced they have completed the acquisition of commercial assets in Phase 2 of the Battersea Power Station development in London.
Last December, Malaysian property developers SP Setia Bhd and Sime Darby Property Bhd had sold their stakes in the second phase of London-based Batter Power Station to PNB and EPF for £1.583 billion ($1.98 billion).
The acquisition was done via PNB-Kwasa International 2 Ltd, a 65:35 joint venture between PNB and EPF.
Both EPF and PNB now have direct holdings in the commercial assets, previously held by Battersea Project Holding Co Ltd. PNB is a major shareholder in both SP Setia and Sime Darby Property. EPF is also a substantial shareholder in both entities.
The Battersea Power Station is set to start operations by late 2020, accounting for some six acres of the overall 42-acre site and is regarded as the jewel in the crown of the project. The entire development is being developed over seven phases since 2012.
“It is currently being restored and will, on completion from the end of 2020, become home to hundreds of shops, restaurants, cafes, event spaces and cinemas as well as new homes, Apple’s London campus and business members club, No18,” said SP Setia in a statement.
UK-based Battersea Power Station Development Co (BPSDC) will continue as the development, estate and asset manager for all phases of the overall development.
“The closure of this transaction marks a significant milestone for all parties involved as it allows the parties to focus on what they do best respectively and specifically enhance the roles each plays in the overall Battersea project,” said BPSDC chairman Wong Tuck Wai.