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CapitaLand subsidiary divests Beijing unit for 20.8m yuan

A SUBSIDIARY of CapitaLand Limited, CapitaLand (China) Investment Co Ltd, has divested its 100 per cent interest in Beijing CapitaLand Property Management Co (BCPM) for 20.8 million yuan (S$4.2 million), CapitaLand said in a Singapore Exchange filing on Tuesday.

BCPM, whose main properties in Beijing are the clubhouse for the Orchid Garden residential development and 137 carpark lots in the La Foret residential development, was sold to a party unrelated to CapitaLand.

The divestment is in line with CapitaLand's strategy of delivering better value to shareholders through proactive portfolio reconstitution. It is not expected to have any material impact on the net tangible assets or earnings per share of the CapitaLand Group for the financial year ending Dec 31, 2019.

The consideration includes the adjusted aggregated net asset value of BCPM of 11.3 million yuan, which takes into account the agreed value of the property at 20.5 million yuan, as well as the assignment of the outstanding loan of 9.5 million yuan to the purchaser.

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Following the divestment, BCPM has ceased to be a wholly-owned subsidiary of CapitaLand.

CapitaLand shares closed at S$3.48 on Tuesday before the announcement, down one Singapore cent or 0.29 per cent.