DIVESTMENT OF ASCENDAS CHINA HOTEL INVESTMENT LIMITED AND
ASCENDAS HOSPITALITY CHINA PTE LTD
Ascendas Hospitality Reit will be divesting Beijing Novotel Sanyuan and Ibis Beijing Sanyuan for RMB1,156.4 million (or approximately S$235.9 million). Aggregate valuation of the Properties was RMB574.0 million (or approximately S$117.1 million) (“Independent Valuation”) as at 31 October 2017. Completion is expected to take place in first half of FY2018/19.
Reasons for the divestment:
- Agreed Purchase Price is Attractive
- To free up capital and provide greater financial flexibility for fund deployment towards potential acquisitions, value enhancement and/or debt repayment.