Singapore investment holding firm United Industrial raises stake in Marina Centre for S$485 million

United Industrial Corporation, a subsidiary of UOL Group, is acquiring a further 24.27 per cent stake in indirect subsidiary Marina Centre Private Holdings (MCH) for S$485.3 million (US$358.86 million), to be paid in cash. It already owns a 53.07 per cent stake in MCH.

The acquisition is being made through the purchase of shares from the following vendors – 10 per cent from OUE for S$200 million, 10.27 per cent from Finnegan Investments for S$205.3 million and 4 per cent from Mackmoor for US$80 million.

Additionally, United Industrial will also acquire a 25 per cent holding in Aquamarina Hotel Private Limited, an associated company of MCH and United Industrial, from OUE’s subsidiary Hotel Investment (Marina) for a sum of S$190 million.

MCH is a property group with investments in the Marina Square retail and commercial complex, comprising Marina Square Shopping Mall and the Marina Square hotels, namely Pan Pacific Singapore, Marina Mandarin Singapore and the Mandarin Oriental, Singapore.

On the other hand, Aquamarina Hotel is 50 per cent owned by MCH and owns the Marina Mandarin Singapore. As of the end of December 2018, sale shares of Aquamarina Hotel were estimated to have a net asset value (NAV) of S$1.52 per share.

Upon completion of the acquisitions, United Industrial will hold a 77.34 per cent stake in MCH, with the remaining 22.66 per cent to be held by its holding company, UOL Group.