The proposed acquisition will enable Straits Trading to deliver enhanced long-term growth and capital returns to its shareholders. On a pro forma basis for FY2020, it is also earnings per share (“EPS”)- accretive for the Group.
SEE:Straits Trading: From tin mining and smelting to property investing and beyond
Chew Gek Khim, executive chairman of Straits Trading, says that the acquisition represents a material investment in one of Straits Trading’s key business units, providing shareholders with enhanced long-term growth prospects and capital returns.
“We value the deep and long-standing relationship with JLFO and will continue to pursue opportunities with them in the future,” she says.
Andy Lim, group CEO of JLFO says, “We have enjoyed our working relationship with Straits Trading immensely and look forward to continuing our collaboration on future projects through our real estate unit, The Land Managers.”
Shares in Straits Trading closed 1 cent or 0.35% up at $2.85 on April 5.
