SINGAPORE (Dec 1): Singapore Press Holdings has acquired an additional 20% stake in Chinatown Point for $30.9 million, increasing its stake in the property to 27.35% from 7.35%.
The new transaction values the property at $442.5 million. SPH first acquired a stake in the property in 2010 as part of a consortium which acquired the property for $250 million and spent $90 million on renovation works.
By all accounts, the acquisition is a small one. However, Morgan Stanley analysts Ling Xin Jin and Wayne Lau point out that income from the mall was previously classified as investment income. Now, Chinatown Point’s earnings would come under net income from associates in the group’s property division.