Sembcorp Industries sells stake in China property firm for S$68m

SEMBCORP Industries on Tuesday said its unit, Singapore Wuxi Investment Holdings (SWIH), has agreed to sell its entire 49 per cent equity interest in the capital of Wuxi Singapore Property Investment Co (WSPI) to Golden Concord and Shanghai Sunac Real Estate Development Co for 323 million yuan (S$68 million).

The sale, made fully in cash, is expected to result in a net gain for SWIH of S$13 million, and a net gain for Sembcorp of S$12 million for the financial year ending Dec 31, 2018. Sembcorp has a 92.6 per cent effective stake in SWIH through its wholly-owned subsidiary.

WSPI is a property holding company incorporated in China which holds, through its China incorporated subsidiary, a residential development in Wuxi named Hongshan Mansion, which is currently in development.

Completion of the sale is expected by the end of 2018.