The disposal of this property is done through an option to purchase by Vivre Creative Design, a party unrelated to Soon Hock and its directors. The property is a 60-year lease that started in Dec 2010.
The board of Soon Hock says that the proposed disposal to be a good opportunity to divest the property given that it will allow the group to realise a gain on disposal, which will provide additional working capital for the group’s operations.
An initial deposit of $75,000 has been paid prior to the grant of the option, and the deposit of $1,000 shall be paid upon the exercise of the option by Vivre Creative Design.
The balance $1.424 million will be paid on the completion date. Upon completion of the proposed disposal, Soon Hock will report a net gain on disposal of approximately $336,117.
See also: Sim Lian Group’s top bid for Woodlands Drive 17 EC site breaks CDL’s record
Shares in Soon Hock Enterprises closed flat at 59 cents on Nov 28.
