The acquisition is expected to be partly funded by equity contribution and shareholders loans from the groups’ shareholders.
According to Heeton Holdings , the proportion of the loans to be contributed by each of the JV Partners will be in proportion to their respective shareholding in the JV company. The shareholding proportion of Heeton Capital, Astra Horizon Ventures and NineCo Investments stands at 85%, 10% and 5%, respectively.
The joint venture is expected to provide Heeton Holdings with an opportunity to develop sustainable and recurring revenue streams to achieve potential enhancement of shareholder value, and expand its investment portfolio, adds the group.
Upon completion of the proposed acquisition, Heeton Holdings is set to provide hotel management services to the JV company or its subsidiaries.
See also: Patrizia, Mitsui invest US$350 mil in Singapore ‘cooling-as-a-service’ firm Kaer
Shares in Heeton Holdings closed flat at 26.5 cents on Dec 3.
