CapitaLand arm inks 75:25 deal with Mitsubishi Estate Asia

Allamanda Realty boosts share capital.

Accoridng to a release, CapitaLand Limited announced the establishment of a 75:25 joint venture, Allamanda Realty Pte. Ltd. between CapitaLand and Mitsubishi Estate Asia Pte. Ltd. to explore potential business opportunities.

CapitaLand’s 75% interest (75 ordinary shares) in Allamanda Realty is held through its wholly-owned subsidiary, CRL Realty Pte Ltd (“CRL Realty”). MEA is unrelated to CapitaLand.

The establishment of the joint venture was made by Allamanda Realty increasing its issued and paid up share capital from S$1 (comprising one ordinary share) to S$100 (comprising 100 ordinary shares) (the “Share Increase”) by allotting an additional 99 ordinary shares as follows:
(a) 74 ordinary shares for a cash consideration of S$74 to its existing shareholder, CRL Realty; and
(b) 25 ordinary shares for a cash consideration of S$25 to MEA.

Allamanda Realty continues to be a subsidiary of CapitaLand.

The establishment of the joint venture and the Share Increase are not expected to have any material impact on the net tangible assets or earnings per share of the CapitaLand Group for the financial year ending 31 December 2012.