MCL Land's Offer For The En-Bloc Purchase Of Nim Park Accepted By Majority Owners

28-May-2007 18:00:57

MCL Land Limited is pleased to announce that its wholly owned subsidiary, Kedron Investments Pte Ltd's offer for the en-bloc purchase of all 56 strata lots and the common property of the development known as Nim Park, Nos 15/A to 69/A Nim Road, Singapore (the "Property") has been accepted by subsidiary proprietors ("the Owners") holding not less than 80% of the share values of the strata lots of the Property on 26 May 2007.

The freehold Property, which is more than 24 years old, comprises a land area of 17,741 square metres. The en-bloc purchase price for the Property is S$84,000,000/-.

The Property is located along Nim Road, within the Seletar residential enclave and in close proximity to the Ang Mo Kio Town Centre.

The purchase price for the Property was arrived at after taking into account various commercial factors including the development potential, location of the Property and the recent transacted prices for properties in the vicinity.

The sale of the Property is subject to approval from the Strata Titles Board (the "Board") and the Controller of Residential Property.

A sum of 5% of the purchase price amounting to S$4,200,000/- was paid to the Owners' solicitors on 26 May 2007. A further sum of 5% of the purchase price will be paid to the Owners' solicitors within 7 days after the date of receiving the Written Notice from the Owners on the approval of the Board or upon all the Owners consenting to the sale.

The balance 90% of the purchase price will be paid on completion of the en-bloc purchase of the Property, which is scheduled 3 months after the date of the Written Notice.

The acquisition and development of the Property will be financed by internal funds and/or bank borrowings. The transaction is not expected to have any material effect on the consolidated earnings and net tangible assets per share of MCL Land Limited for the financial year ending 31 December 2007.

None of the directors or substantial shareholders of MCL Land has any interest, direct or indirect, in the above transaction.