According to The Business Times, Keppel is divesting 70 percent of capital from the company that owns the Saigon Sport City project in Thu Duc City, HCM City, Vietnam.

The newspaper reported that Jencity, a subsidiary of Keppel, will sell 35 percent of shares to Dai Phuoc Co Ltd. 

The deal will be done in two phases, with 5 percent and 30 percent of shares to be sold. It is expected that Keppel will collect VND320 billion and VND3,290.6 billion after each phase.

Jencity will sell 35 percent of shares to Vinobly Real Estate Investment JSC at VND3.839 trillion.

As such, 70 percent of the company owning Saigon Sport City will be sold at VND7.5 trillion. However, the payment will depend on the investor’s completion of legal procedures.

Dai Phuoc is a real estate firm headquartered in Bien Hoa City in Dong Nai province. The legal representative of the company is Trinh Manh Thanh. Vinobly is a business majoring in financial services with headquarters in Thu Duc City.

The two buyers were established in late December 2023.

Saigon Sport City is a $500 million complex with high-end housing, trade and service area and public sport area. Once completed, the project will provide 4,300 apartments to the market.

Since the groundbreaking ceremony held in November 2019, the project has yet to begin construction.

In addition to Saigon Sport City, Keppel withdrew from a project on a well-located position in HCMC – Saigon Center Phase 3 - by selling shares in a subsidiary. The new investor of the project is a real estate firm from Japan.

Saigon Center Phase 3, covering an area of 8,624 sqm, comprises two component projects, located at No 92-94 Nam Ky Khoi Nghia in district. Three Saigon Center buildings in construction Phases 1 and 2 were in 1993 and 2016, respectively.

Due to problems in site clearance, to date, only 816 sq m of land has been handed over to the investors.

The two investors of Saigon Center Phase 3 are Keppel Land Watco IV and Keppel Land Watco V.

Saigon Real Estate Corporation (Resco) owns 16 percent of shares in Keppel Land Watco IV, while two subsidiaries of Keppel Group – Keppel Land and Krystal Investment – own 68 percent and 16 percent, respectively. Similar ownership ratios are seen in Keppel Land Watco V.

Another subsidiary of Keppel Group - Himawari VNSC3 – holds preferential stocks in Keppel land and Krystal Investment.

Anh Phuong