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GuocoLand announces internal restructuring
GUOCOLAND Limited announced on Friday that it has undertaken an internal restructuring exercise where certain hotels in the GuocoLand Group, held and owned by different subsidiaries within the GuocoLand Group in Singapore and Malaysia, will be consolidated under a distinct strategic business unit GuocoLand Hotels (GLL Hotels).
The company said that the internal restructuring will enable the GuocoLand Group to "better align its holding of hotel assets, promote business efficacy and enhance synergy".
It will involve the transfer of shares in the company's subsidiaries holding the respective hotel assets to GLL Hotels.
On the Singapore side, GLL Hotels had entered into an agreement with GuocoLand Singapore in which 8 million shares representing 80 per cent of the issued and paid-up share capital of TPC Hotel were transferred from GuocoLand Singapore to GLL Hotels. GuocoLand Singapore owns 80 per cent of TPC Hotel's shares. TPC Hotel owns Sofitel Singapore City Centre. Following the internal restructuring, the company's indirect interest in TPC Hotel remains unchanged at 80 per cent.
The internal restructuring is not expected to have any material effect on the net tangible assets per share or earnings per share of the GuocoLand Group for the current financial year ending 30 June 2018.