SINGAPORE (THE BUSINESS TIMES) - Two family members of Koh Brothers Group's executives will each buy a unit in the company's upcoming 69-unit freehold luxury condominium Van Holland.
The mainboard-listed developer said on Saturday afternoon (Jan 11) that its wholly-owned subsidiary, KBD Holland, had granted siblings Benjamin Koh Yong Jun and Rachel Koh Han Ling the option to purchase the apartments, both on the third storey of Block 188.
Mr Benjamin Koh may buy a unit at $1.5 million, while Ms Rachel Koh may buy one at $2 million.
Both sale prices were arrived at after applying a special staff discount of 3 per cent on the public list price. This discount is granted to all employees and their respective immediate families for the purchase of any units in the condominium, Koh Brothers said.
Francis Koh Keng Siang, the company's managing director and group chief executive officer (CEO), is Mr Benjamin Koh and Ms Rachel Koh's father.
The group's executive chairman, Koh Tiat Meng, is their grandfather, while non-executive and non-independent director Quek Chee Nee is their grandmother.
Executive deputy chairman Koh Teak Huat is their granduncle, while Koh Keng Hiong, the executive director and deputy CEO of the real estate and leisure and hospitality divisions, is their uncle.
Mr Benjamin Koh, Ms Rachel Koh, their brother and their mother are also substantial shareholders of the company, although Koh Brothers did not disclose the stakes they own in Saturday’s filing.
Shareinvestor data on Monday showed that the “Koh Keng Siang family” was the largest shareholder with 60 million shares totalling a 13.8 per cent interest. A bourse filing by the company on Jan 8, 2018, disclosed that the group CEO, his wife and three children were the beneficiaries of a discretionary trust, under which they were deemed to have an interest in 60 million shares - equivalent to a 14.5 per cent stake at that time.
The company's audit and risk committee (ARC) has reviewed and approved the sales to the Koh siblings, and is satisfied that the terms of the sales are fair and reasonable", Koh Brothers said. The ARC and board are also satisfied that the terms of the sales are not prejudicial to the interests of the company and its minority shareholders.
The chairman, deputy chairman, group CEO, deputy CEO of the real estate and leisure and hospitality divisions, and Mdm Quek had abstained from the board's review and approval of the interested-person transactions.
Van Holland units were offered to the public on Saturday, with indicative prices starting from $2,600 per square foot.
Its private preview on Jan 3 reportedly attracted over 200 visitors. Citi analyst Brandon Lee was quoted on Friday as saying that five units had been sold, before the public launch and the announcement on Mr Benjamin Koh and Ms Rachel Koh's purchases.
The development along Holland Road is set to obtain its temporary occupation permit in March 2023. It will offer apartments each spanning 495 square feet (sq ft) to 1,991 sq ft.
Shares of Koh Brothers were flat at $0.23 at Friday's close.