SINGAPORE - Keppel Land will raise its shareholding in The Estella, a residential development in Vietnam's Ho Chi Minh City, the property developer said on Monday.
Keppel Land currently holds a 55 per cent stake in the Estella Joint Venture company. It has signed a conditional share purchase agreement to acquire an additional 43 per cent stake in phases two and three of The Estella from its Vietnamese partner Tien Phuoc.
The transaction is slated to be complete end of this year, and Keppel Land will hold a total of 98 per cent interest in phases two and three of the development.
Phase one has been completed, with 719 units sold and handed over to homebuyers except for nine penthouses.
Phase two is slated for launch early next year, and is expected to yield more than 500 homes including penthouses and retail space.
The Estella, which is in the popular An Phu Ward, District 2, in Ho Chi Minh City, has a retail component and more than 1,500 apartments.
Mr Linson Lim, Keppel Land's president for Vietnam, said in a statement: "Keppel Land has been growing with Vietnam since the 1990s and is one of the pioneer real estate developers in the country.
"The acquisition of the phases 2 and 3 in The Estella reflects Keppel Land's long-term commitment to contribute to sustainable urbanisation of Vietnam with our quality portfolio of properties."