A Singapore Exchange (SGX:S68
) (SGX) announcement says the disposal is NTA accretive based on an FY2024 pro forma basis, taking NTA from $10.17 per share to $10.68. Pro forma gearing based on fair value will fall from 0.69 times to 0.63 times. Pro forma gearing based on historical cost will fall to 1.03 times from 1.17 times, while pro forma earnings per share will surge to 71.2 cents from 21.3 cents.
City Developments (CDL) and IOI Properties Group (IOIPG) have entered into a share sale agreement for their joint venture (JV) South Beach mixed-use integrated development. Under this agreement, IOIPG will acquire CDL’s 50.1% interest in the development, based on an agreed property value of $2.75 billion on a 100% interest basis, which represents an approximately 3% premium over the latest valuation of $2.67 billion as of Dec 31, 2024.
Based on CDL’s proportionate 50.1% share of its consolidated net assets as of April 30, the estimated sale consideration is $834.2 million. Both the net tangible asset (NTA) value and the net asset value (NAV) of the disposal shares are $366.5 million. The proposed disposal will result in an estimated gain of $465 million for Dec 31, 2025, the company says.
