SG: Imperium Crown to divest Japanese properties; GIC to buy 50 % in UK mall; Memtech to sell land parcels

Singapore's Marina Bay district at night. Credit: Flickr/Marc Ben Fatma

The latest in realty deals from Singapore companies has seen Imperium Crown seek shareholders’ approval to divest all its Japanese properties, while GIC plans to buy a 50 per cent stake in British mall and Memtech International has entered into a sale and purchase agreement for the sale of two of its land parcels.

Imperium Crown seeks shareholder’s approval to divest all Japanese properties

Mainboard-listed property investment group Imperium Crown plans to divest all its Japanese properties and will hold an extraordinary general meeting to gain approval from its shareholders.

In a filing to the Singapore Exchange, the group said the decision may help improve the financial performance of its core business operations, as the Japanese property market and the current economic climate in that country was expected to remain subdued into 2017.

The company also said that as a small cap real estate developer, it was limited by its size in seeking long-term yield return and is constrained by the free cash available for further investment.

The decision comes two years after the group’s foray into the Japanese markets with its Japanese properties recording a net loss of S$12.38 million for FY2016 compared to a profit of S$11.98 million for FY2015.

Imperium Crown also said it may “explore investment opportunities into other sources of potential revenue.”

GIC to buy 50 per cent stake in British mall for S$86m

Singapore sovereign wealth fund GIC announced on Friday that it will buy a 50 per cent stake in the Watermark, a newly-opened mall in Southampton from European property developer Hammerson, for an estimated S$86 million.

The 17,000 sq m development which opened earlier this month, is expected to provide a stabilised annual income of £5.5 million and is currently 95 per cent leased.

Madeleine Cosgrave, Regional Head, Europe, GIC Real Estate, said, “As a long-term investor, we focus on ensuring that income streams from our investments are stable and resilient. To remain competitive in an age of e-commerce, retail destinations need to offer attractive consumer leisure experiences to boost footfall and customer retention.”

Memtech to sell two land parcels for 41 million yuan

Memtech International has announced that it’s wholly-owned subsidiary Huzhou Memtech Electronic Industry Co., Ltd will sell two pieces of land in Huzhou City, Zhejiang, for 41 million yuan.

The automotive components supplier will sell the land to Zhejiang Add Auto-Parts Co as part of a divestment of under-utilised assets for cost savings.

The two plots of land have a total gross area of 30,573.68 square metres with three buildings – including two factory buildings and a workers dormitory – on site.

Proceeds from the sale will go towards general working capital purposed for the company’s businesses and operations.

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