SINGAPORE (EDGEPROP) - Keppel Land, through its wholly-owned subsidiary Portsville, is divesting its remaining 30% interest in Dong Nai Waterfront City LLC (DNWC) to Nam Long Investment Corporation (NLG) for a total consideration of VND1,951 billion ($115.9 million). DNWC has the right to develop a 170ha township in Dong Nai Province, Vietnam.
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The divestment will be paid out in cash to Portsville in two tranches. Keppel Land expects to recognise a gain on disposal of around $52.5 million after the divestment. This divestment follows the 2019 divestment of a 70% in DNWC by Portsville to NLG.
Joseph Low, general director of Keppel Land (Vietnam), says, “The divestment of Dong Nai Waterfront City is in line with Keppel’s plan to monetise identified assets and apply the balance sheet space that is released for new growth opportunities under its Vision 2030.”
He adds that Keppel Land will continue to expand its presence in Vietnam through quality residential and commercial developments as well as integrated townships.
The divestment is expected to be completed in the 1H2021, conditional upon certain conditions, such as the issuance of a new Enterprise Registration Certificate by the relevant Vietnamese authorities.