Straits Trading Company is taking a stake in another residential property in Japan's Greater Tokyo region.
Japanese firm SIM Residence 2 - a silent partner of Straits Trading's JPN Residential TK Holdings subsidiary - is set to take a full trust beneficiary interest in 134-unit rental residential apartment in Saitama. The value of the deal is 989 million yen (S$12.2 million), to be funded by internal resources and bank borrowings. The property has a net lettable area of 74,885 sq ft, with a five-year master lease.
JPN Residential TK Holdings holds a 86.8 per cent economic interest in SIM Residence 2's pre-tax distributions, and the deal comes by way of a subscription from Savills IM Japan Residential Fund. Straits Trading committed nine billion yen to the fund in January, through a wholly owned subsidiary. The fund has already struck deals for two rental residential apartments in the Tokyo area.
Confectioner Khong Guan said its earnings swelled in the first half year, thanks to higher foreign exchange gains and unrealised fair-value gains on short-term investments.
It recorded a net profit of $792,000 for the six months to Jan 31, almost eight times the $95,000 it made in the same period the year before. This was despite group turnover barely budging to $28.78 million, up 0.25 per cent.
In the wheat flour and consumer trading business, Sabah-based Tong Guan Food Products saw a dip in revenue, but this was offset by the performance of Swee Hin Chan Company, which operates in Penang.
VIbrant Group's profits surged in the third quarter. But while profits swelled to $2.29 million for the three months to Jan 31 - from $262,000 - most of it went to non-controlling interests, the integrated logistics solutions provider said yesterday. Net profit attributable to owners of the company sank by 88.6 per cent to $146,000, amid unrealised foreign exchange loss and higher finance costs.
Vibrant said the rise in profit attributable to non-controlling interests was "mainly due to higher profits from real estate business".
Revenue more than tripled to $177.3 million from $53.5 million, thanks largely to contributions from Blackgold International Holdings, a China-based coal producer that Vibrant acquired in July last year.