CSE Global seeks to dispose US industrial property for US$29.3 million
Technology solutions provider says this would allow it to monetise asset and free up capital to help it expand in America
CSE Global’s indirect wholly owned subsidiary, Volta Properties, entered a purchase and sale agreement with Gladstone Commercial on Dec 31 for the proposed disposal of an industrial property in the United States for US$29.3 million.
Incorporated in Delaware, Gladstone Commercial is an independent third party that is not related to the company.
In a bourse filing on Friday (Jan 3), the technology solutions provider said that the proposed disposal would allow the group to monetise the property and free up capital to purchase a larger property in the US for the expansion of its business.
Located in North Houston, Texas, the industrial manufacturing property consists of two buildings and is currently tenanted to CSE W-Industries, which is also a wholly owned subsidiary of the company, for its manufacturing purpose.
Following the completion of the disposal, CSE W-Industries intends to continue to lease the property from Gladstone Commercial for use as its manufacturing plant.
Shares of CSE Global ended S$0.01 or 2.4 per cent higher at S$0.425 on Friday.
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