Company briefs: First Sponsor

First Sponsor

Mainboard-listed First Sponsor Group will partner China Vanke and Regent Land Investment Holdings to develop its Star of East River project in Dongguan city in China's Guangdong province.

The two investors will take up 55 per cent and 15 per cent interest respectively in the project. First Sponsor said it will retain a significant 30 per cent stake, enabling it to "participate in any potential upside in the value of the project".

The deal is expected to yield a net gain of about $95.3 million and net proceeds of some $243.4 million for First Sponsor.

Chip Eng Seng Corp

Chip Eng Seng Corporation's wholly owned subsidiary, CES Engineering & Construction, has been awarded a $191.9 million contract by the Housing Board for construction work related to the Toa Payoh Bidadari housing project.

The contract comprises the construction of 16 blocks of residential buildings and community facilities over 47 months.

It is not expected to have any material impact on the group's earnings and net tangible assets for the financial year ending Dec 31.

Eu Yan Sang International

Eu Yan Sang International yesterday said its fourth-quarter net loss widened to $14.1 million from $3.6 million in the previous corresponding period.

Revenue for the three months to June 30 was up 2 per cent at $73.5 million.

For the full year, it reported a net loss of $13.5 million, reversing from earnings of $4.6 million in 2015.

Full-year revenue dipped by 3 per cent to $338.2 million, due to revenue decline in Hong Kong and the weakening of the Malaysian ringgit and Australian dollar.

The net losses were significantly affected by impairments on property, plant and equipment, goodwill and intangible assets in Hong Kong, China and Australia as part of its business restructuring programme.

No final dividend was recommended.

A version of this article appeared in the print edition of The Straits Times on August 23, 2016, with the headline 'Company Briefs'. Subscribe