Keppel Land sells stake in Vietnamese developer for $41.2m

It expects a $13m gain from the sale.

Keppel Land subsidiary Keppel Land Thu Thiem sold its stake in Vietnamese Quoc Loc Phat Joint Stock Company (QLP) for $41.2m.

According to an announcement, QLP is a Vietnam-based company which is an officially appointed developer of a property in Ho Chi Minh City. Keppel Land’s subsidiary holds a 20% in QLP, whilst its indirect subsidiary Orbista holds a 25% interest in the company.

Following the transaction, Keppel Land will hold a 15% interest in QLP through Orbista.

“The proposed divestment is in line with the Keppel Land's strategy to recycle assets to seek higher returns,” the company said. It expects to gain $13m from the transaction.

Moreover, Keppel Land intends to divest its remaining indirect interest of 15% shareholding in QLP which is held through its wholly-owned subsidiary, Oil Asia, which in turn, holds 100% of the shareholding interest in Orbista.