Equal mix of cash, shares to pay for Ascendas-Singbridge buy is prudent: CapitaLand CEO Lee Chee Koon

Singapore

CAPITALAND said it weighed carefully its funding requirement to pay for the acquisition of Ascendas-Singbridge before concluding that an equal mix of cash and shares was best as it avoids either over-gearing the company or issuing new shares at too steep a discount, said CapitaLand's president and group chief executive officer Lee Chee Koon.

CapitaLand has inked a deal to buy Ascendas-Singbridge with an enterprise value of S$11 billion from Temasek Holdings. This takes into account debt owed by Ascendas-Singbridge and a payment of S$6 billion to parent company Temasek.