Lian Beng (Joo Chiat), the subsidiary of SGX-listed Lian Beng Group, has granted an option to sell 381 Joo Chiat Road to an unrelated third party for a sale consideration of $42 million.
The property is a freehold four-storey commercial building with an attic and a basement carpark. Lian Beng had acquired the property in March 2018 for $27 million.
The option, which was granted on Sept 8, is exercisable by the purchaser at its discretion within 14 days from the date of the option, and a binding sale and purchase agreement will be formed.
The completion of the sale will occur 12 weeks after the exercise of the option.
The disposal is expected to have a positive impact on Lian Beng’s net earnings per share (EPS) and the net tangible assets (NTA) per share for the current financial year ending May 31, 2023.
As at 9.09am, shares in Lian Beng are trading 1.5 cents higher or 2.83% up at 54.5 cents.
