Singapore-based firm Tayrona Capital Pte Ltd plans to obtain a 99% stake in real estate developer Hatten Land Ltd’s Harbour City mixed development in Melaka.
The deal, worth US$323 mil, will see Tayrona Capital invest US$23 mil in Hatten Land’s unit Gold Mart Sdn Bhd, the developer of Harbour City, through the issuance of new shares which allows Tayrona Capital to obtain a 99% stake in the company, said Singapore Exchange-listed Hatten Land in a statement today.
Hatten Land added that Tayrona Capital would be injecting a further US$240 mil to “improve and to complete the development and marketing of Harbour City”. The firm will also purchase from Hatten Land various intellectual properties for a consideration of US$60 mil.
The group said the proceeds of US$60 mil will strengthen its balance sheet and “provide greater financial flexibility to pursue new growth initiatives”.
According to the statement, as at March 31, 2020, Hatten Land’s net assets and net current assets stand at RM370 mil and RM307 mil respectively. The group also has about RM1.3 bil worth of unsold completed properties.
Hatten Land would also convene an extraordinary general meeting to seek shareholders’ approval for the proposed transaction.
Harbour City is a themed development that comprises the thematic Harbour City Mall, Melaka’s largest “Sky” water theme park at 500,000 sq ft, as well as a luxury hotel.
Tayrona Capital, part of the Tayrona group that is involved in hospitality and investments, is seeking to acquire and complete the project as an addition to its Sagana Hotels & Resorts network of 32 hotels or resorts worldwide, and Ultra Luxury Integrated Destinations Collection which currently has operations and developments in 22 countries.
