SINGAPORE (May 8): Over the past year, shares in Perennial Holdings have tumbled some 23%, but the group is set to benefit from the divestment of its consortium’s 50% stake in AXA Tower to Alibaba Singapore. 

The consortium will in turn transfer the remaining 50% equity stake in AXA Tower and the remaining 50% outstanding loan to a new entity, PRE 13. The deal is based on a property purchase price of $1.68 billion for the building. 

Under the terms of the venture, Perennial is set to dispose its existing 31.2% stake in AXA Tower for net proceeds of $196 million, and will reinvest a 10% effective stake in the new JV for a price tag of $60 million.  

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