Singapore property group CapitaLand has divested its remaining 39.12 per cent stake in Australand Property Group as it reinforces its focus on Singapore and China, the developer said on Wednesday.
CapitaLand placed out 226.2 million stapled securities of Australand for A$848.8 million (S$970.1 million) in total, or an average price of A$3.75 each. This was a 3.6 per cent discount to the closing price of Australand's stapled securities on Tuesday.
The Singapore developer expects to recognise a net gain of about $35.7 million after the transaction is completed.
It said Australand's strong share price performance in recent months made it a good time to sell the stake.
"We have decided to divest our remaining stake in Australand now as market conditions are favourable and Australand's share price has performed strongly in the past few months," said Mr Lim Ming Yan, Capitaland's president and group chief executive officer.
"This divestment would allow us to reallocate capital to our core businesses in Singapore and China."