Ley Choon stated in an SGX filing that its subsidiary had entered into an SPA with Tee Land. (Photo: Jonathan Choe, Flickr.com)
Property developer Tee Land is acquiring the real estate subsidiary of Ley Choon Group Holdings, in line with the debt restructuring programme that Ley Choon is undertaking with its lenders.
In an SGX filing, Ley Choon revealed that its subsidiary, Ley Choon Constructions and Engineering Pte Ltd, has entered into a conditional sale and purchase agreement (SPA) with Tee Land for the sale of the entire issued and paid up capital of Ley Choon Development Pte Ltd (LCDPL).
Principally engaged in the business of real estate development and building construction, LCDPL owns a 12,930 sq ft land at 241 Pasir Panjang Road, Singapore.
Notably, Tee Land has agreed to acquire LCDPL’s over 8.7 million shares for S$11.5 million. Ley Choon said the acquisition price was decided upon a “willing buyer, willing buyer basis”, with the acquisition expected to take place by end-November.
The group expects to receive net proceeds of around S$9.93 million, which it intends to use to repay loans under the debt-restructuring plan.
More information on the acquisition can be found here.
Cheryl Marie Tay, Senior Journalist at PropertyGuru, edited this story. To contact her about this or other stories, email cheryl@propertyguru.com.sg
