<article>Singapore’s Keppel Corporation-backed consortium on Tuesday announced that it will acquire Yi Fang Tower, a commercial development located in Shanghai, for 4.6 billion yuan ($690 million), according to its filing with the stock exchange.</article>

Singapore’s Keppel Corporation-backed consortium on Tuesday announced that it will acquire Yi Fang Tower, a commercial development located in Shanghai, for 4.6 billion yuan ($690 million), according to its filing with the stock exchange.
The acquisition was done through Keppel Capital Holdings Ltd (AAMTF III) and Keppel Land China Limited (KLCL) following a shareholders’ agreement made on March 25 over joint venture (JV) company North Bund Keppel.
North Bund Keppel had entered into a framework agreement on September 03, 2018 with seller, Yi Fang Jing Yi Enterprise Management Co. Ltd. to acquire the property which is expected to be completed in the second quarter of 2019.
North Bund Keppel is currently held by a wholly-owned subsidiary of AAMTF III. Following the initial round of funding through subscription of shares, North Bund Capital will have paid-up capital of approximately $302 million. AAMTF III and Keppel Land China will subscribe 42.1 per cent and 29.8 per cent stakes in North Bund respectively. The remaining stake will be distributed to other co-investors.
Yi Fang Tower is located in the centre of North Bund area and is in close proximity to the Lujiazui Financial Centre and the Bund. The property consists of two 18-storey towers and a retail podium. It has a total gross leasable area of 74,400 sq m, comprising about 47,500 sq m of office space and 26,900 sq m of retail space.
According to the securities filing, Keppel Corporation directors Tow Teng Tan, Veronica Tan, and Loh Chin Hua are investors in AAMTF III. Aside from these individuals, none of the directors and controlling shareholders of the company has any interest in the transaction, other than through their shareholding interests.
The transaction is not expected to have any material impact on the earnings per share and net tangible asset per share of Keppel Corporation for the current financial year.

Singapore’s Keppel has partnered with some co-investors to acquire Yi Fang Tower, a commercial development located in Shanghai, for $690 million.

Singapore's Keppel consortium acquires Shanghai building for $690m

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Singapore's Keppel consortium acquires Shanghai building for $690m

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