Chip Eng Seng to acquire industrial building at Tuas

PROPERTY and construction player Chip Eng Seng on Wednesday announced that its subsidiary CES-Precast (CESP) will acquire the remaining unexpired leasehold estate in an industrial building in Tuas.

This comes at a time where Singapore's construction sector is expected to take a hard hit from the Covid-19 outbreak. According to forecasts by Fitch Solutions, the sector will contract sharply by 10.3 per cent this year in real terms.

CESP had exercised the option granted by Concrete Innovators to aquire the property at 65 Tech Park Crescent, and has paid a deposit of S$1 million, in addition to the option fee. Taken together, they collectively represent 5 per cent of the purchase price, said the mainboard-listed Chip Eng Seng. 

The balance of the purchase price will be payable on completion. 

None of the directors and, to the best knowledge of the directors, none of the controlling and substantial shareholders of the group has any direct or indirect interest in the proposed acquisition, said the group. 

Shares of Chip Eng Seng closed up 0.5 Singapore cents to 57.5 cents on Wednesday.