Sime, SP Setia dispose of stake in Battersea Power Station

Sime Darby Property Bhd and SP Setia Bhd are disposing of their stake in the Battersea Power Station building for a base consideration of RM8.351 billion (£1.583 billion) to PNB-Kwasa International 2 Ltd.

The transaction is expected to be completed in the first quarter of 2019, said a statement.

PNB-Kwasa International 2 is a joint venture of Permodalan Nasional Bhd (PNB) and the Employees Provident Fund (EPF).

Battersea Phase 2 Holding Company Ltd (Battersea Phase 2 Holdco) is a wholly-owned subsidiary of Battersea Project Holding Co Ltd, which is owned by Sime Darby Property and SP Setia, each holding a 40 percent stake, and the EPF the remaining 20 per cent.

The ownership reorganisation for phase two of the Battersea Power Station Commercial Assets took a major step forward with the signing of a sale and purchase agreement last Friday between Battersea Phase 2 Holdco and PNB-Kwasa, Sime Darby Property and SP Setia said in a joint statement today.

SP Setia president and CEO Khor Chap Jen said the sale will bode well with the company’s business plan, as it aimed to play a major role in the project’s overall development.

“We would like to thank all the parties involved in evaluating this acquisition and making this transaction a success. The commitment shown by all demonstrates the confidence in this iconic London landmark development,” he added.

Meanwhile, Sime Darby Property group managing director Amrin Awaluddin said the deal was an important milestone in the development of the Battersea Power Station site, and was pleased to secure the commitment from two of Malaysia’s leading institutions.

The 17ha Battersea Power Station site is being developed over seven phases since 2012, managed by the London-based Battersea Power Station Development Company, on behalf of the shareholders.

It successfully completed and delivered 867 residential units in Phase 1 over the past two years (2017-2018).

Besides residential units, the retail and leisure spaces which were launched earlier this year gained strong interest from a wide-ranging collection of UK and other international brands.

- Bernama