King Wan Corporation has exercised the option to acquire a property located at 15 Joo Koon Way for $9.5 million, according to a bourse filing on March 17.
The property is a leasehold property with a leasehold interest for a term of 30 years starting Dec 1, 2009. It is made up of a single detached factory block and a rear extension erected on Lot 558W of Mukim 7 with a land area of 9353.9 square metres.
King Wan has paid 1% of the $9.5 million on Dec 26, 2024 upon issuance of the option, while 4% has been paid upon the exercise of the option on March 17.
The balance 95% of the purchase consideration will be paid after a few conditions have been met, including obtaining the written approvals from Jurong Town Council for the sale and purchase of the property among others.
Thereafter, the completion of the proposed acquisition is expected to happen six months from the date of the exercise of option.
The group expects expenses incurred for the acquisition of the property to be $2.3 million, inclusive of stamp duty, addition and alteration works, as well as disposal and moving costs.
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Earnings per share after the acquisition is expected to be 1 cent per share.
Shares in King Wan Corporation closed 0.1 cent higher or 2.941% up at 3.5 cents on March 17.
