Boldtek Investment, a wholly-owned subsidiary of Boldtek Holdings has made an offer to purchase on an en bloc basis, a residential property located at No. 8 Lorong 25A Geylang Road for a sum of $26.5 million.
NNB 8 Development (NNB8), which was nominated the purchaser of the property, was incorporated on Dec 28, 2020, by Neo Group’s 50%-owned joint venture company, NNB Global Development.
See: Boldtek enters into joint venture with Neo Group to go into property business
It had an issued and paid-up capital of $1 million comprising 1 million ordinary shares held by NNB Global Development, SG Sovereign Real Estate and Exclusive Development at 80%, 10% and 10% respectively.
The principal activity of NNB8 will focus on property development, property investment and property management.
The effective interest of Neo Group in NNB8, through NNB Global Development, is 40%.
The offer was accepted by majority of the registered subsidiary proprietors of the property on Dec 22, 2020.
The property is located on a freehold site with an area of 11,459 sqft and is zoned for residential or institutional use with a gross plot ratio of 2.8 and an allowable height of up to eight floors.
The purchase price was arrived at after assessing and evaluating the current market prices of similar properties in the surrounding area, as well as the redevelopment potential of the property.
An initial deposit of $200,000 has been paid on Dec 21, 2020.
NNB8 will pay the deposit of 10% of the purchase price in two installments. The first, being 5% of the purchase price after the initial deposit, was paid on Jan 4.
Another 5% of the purchase price will be paid within one week from NNB8’s receipt of the order for sale or the signing by all the remaining registered subsidiary proprietors of the property.
The balance of the purchase price will be paid on the date of completion, which is around three months from the date of contract.
Shares in Neo Group closed flat at 51.5 cents on Jan 6.
