Hiap Hoe takes 15% stake in Ley Choon for $14.5 million via share placement

Property group Hiap Hoe has, through its wholly-owned investment arm Hiap Hoe Investment, acquired a 14.9 per cent interest in Ley Choon through a placement of 88.3 million shares at 16.42 cents apiece.

The placement price represents a 10 per cent discount from the full market trading day's weighted average price of 18.24 cents per share on July 30.

The acquisition works out to $14.5 million.

Hiap Hoe executive chairman and chief executive officer Teo Ho Beng said: "We are pleased with our investment in Ley Choon as it is central to our strategy of growing our investment activities, enlarging and diversifying our revenue streams over the next few years."

Separately, Ley Choon said its wholly owned subsidiary, Ley Choon Constructions and Engineering, has been awarded two contracts worth a total of $63.9 million by the Land Transport Authority for the maintenance of expressways, road related facilities and road structures.

These projects are slated for completion by July 2015.