Keppel Land buys up remaining Saigon Sports City stake for $15m

Keppel Corp yesterday said it has, through Keppel Land's wholly owned subsidiary Oil (Asia) Pte Ltd, acquired the remaining 10 per cent stake in Jencity Limited, which holds Saigon Sports City, for about US$11.4 million (S$15 million).

It bought the stake from Jenclub Limited.

Following the acquisition, Keppel Land will hold a 100 per cent interest in Saigon Sports City, thus consolidating its full ownership of the township.

Saigon Sports City is a 64ha township that Keppel Land is developing in the prime District 2 in Ho Chi Minh City, in collaboration with Keppel Urban Solutions.

The consideration was satisfied in cash funded by internal financial resources and set-offs for a loan and land compensation.

The total development cost for Saigon Sports City is projected to be more than US$500 million. The integrated township will comprise about 4,300 premium homes, and will have a waterfront boulevard, an open public plaza and Vietnam's first one-stop lifestyle hub with facilities for sports, entertainment, shopping and dining.

The first phase of Saigon Sports City will feature some 90,000 sq m gross floor area of commercial space and about 1,220 homes, of which 620 units are slated for launch in the second half of this year.

Keppel Corp said the transaction is not expected to have impact on its earnings per share and net tangible asset per share for the current financial year. Keppel Corp shares last closed seven cents lower at $7.72 on Friday. - LEE MEIXIAN