The 拢1.6bn (鈧�1.76bn) sale of the commercial assets within the second phase of the Battersea Power Station (BPS) project in London has been agreed.
In January, S P Setia entered into an agreement to 鈥渆xplore the terms of a potential sale鈥�, on completion, of the assets being developed within the Phase 2 project to a joint venture company to be formed by Permodalan Nasional Berhad (PNB) and The Employees Provident Fund of Malaysia (EPF).
Battersea Power Station Development Company (BPSDC) said today that the 拢50bn Malaysian government-owned entity PNB and the 拢140bn EPF have agreed to buy the assets in a deal expected to complete in the first quarter of next year.
PNB willl hold a 65% stake in the joint venture vehicle and EPF will hold the remaining 35% stake.
Phase 2 comprises the Power Station building itself which accounts for some six acres of the overall 42-acre BPS development.
The base purchase price is 拢1.58bn payable as an initial payment and then staged payments up to and including the practical completion of the Power Station building, BPSDC said.
PNB and EPF already own 70% of the entire BPS development through their holdings in the current developers and in the case of EPF through a direct 20% holding.
BPSDC said the latest deal will not affect the shareholdings in Battersea Project Holding Company Limited, which remain unchanged between S P Setia (40%), Sime Darby Property (40%) and EPF (20%).
Datuk Wong, the chairman of BPSDC, said: 鈥淭his transaction is a further sign of Malaysia鈥檚 long-term commitment to Battersea Power Station. We are incredibly proud to be stewards of this iconic project.
鈥淭here is a real momentum on site and we look forward to working with all our partners to complete this significant redevelopment.鈥�
Simon Murphy, the chief executive of BPSDC, said: 鈥淭his reflects confidence in the excellent progress being made at Battersea Power Station and is an important step in ensuring this London landmark is appropriately owned and managed for future generations.
鈥淲e are working closely with all our shareholders and stakeholders to deliver this huge regeneration project on time and within budget and in so doing both achieve their objectives and create a vibrant new neighbourhood for Central London.鈥�
