Advancer Global taking 82% effective stake in property firm for S$600,000

CATALIST-LISTED employment services group Advancer Global is buying a property management and property valuation firm for S$600,000, the board said on Friday.

Through its indirect subsidiary SRE Global, Advancer will have an 82 per cent stake in HBA Group Property Consultants, in a move that it said was in line with plans to expand the group's range of services in its building-management business division.

The board added that the acquisition, which was negotiated at arm's length and will be funded by internal resources, "would enlarge clientele and portfolio for the group and thereby enable it to expand its market share and presence in Singapore".

No independent valuation was carried out for the transaction. HBA reportedly had net assets of about S$772,120 and a post-tax net profit of roughly S$167,200 in the year to Dec 31, 2020, based on its unaudited financial statements, although Advancer noted that it has not independently verified the accuracy of this information.

Businessmen Tang Kok Kong and Yip Mien Hui, the directors of HBA and the vendors in the deal, are independent third parties who are unrelated to Advancer, according to the bourse filing.

Advancer Global's shares closed flat at S$0.17, before the announcement.