UEM Sunrise has entered into a Share Sale and Purchase Agreement with IHH and Nusajaya Lifestyle Sdn Bhd for the disposal of 600,000 ordinary shares and 13,276,667 redeemable preference shares representing 6% equity interest in NLSB, to IHH for a total consideration of RM8.9 million and a supplemental shareholders’ agreement with IHH and NLSB to vary the terms following the changes in NLSB’s shareholding structure.
This is in reference to an earlier arrangement between the two parties whereby NLSB, a 55:45 joint venture between UEM Sunrise and IHH, a wholly owned subsidiary of Iskandar Investment Berhad was incorporated in Malaysia in June 2011. The purpose of the joint venture was to develop, operate, sell or sub-lease retail lots or other commercial components on a parcel of land measuring approximately 35.11 acres located in Medini, Iskandar Puteri. The development is divided into two phases Phase 1 of the development, comprising a retail development known as Mall of Medini, was completed in 2012. The remaining available land will feature entertainment facilities, shopping malls, and serviced apartment.
With this deal, UEM Sunrise will no longer be the Development Manager for the proposed mixed development of the land in Medini, Iskandar Puteri. The group said it will now strategically focus on its other assets in the Southern region, especially in Puteri Harbour.
The Proposed Disposal will entail the group receiving cash upon the execution of SSPA and will allow the group to reallocate its resources and pursue other business opportunities.
