HKR lifts hotel stake

MINGLY Corp and its 60 per cent-owned HKR International have strengthened control over HKR subsidiary Beaufort Hotels, in a deal worth $3.8 million.

HKR, which indirectly owns 69.6 per cent of Beaufort, is buying a further 25 per cent from Siegfried Beil and his company Beil Holdings, taking its stake to 94.6 per cent.

HKR will also buy all the issued capital of Mr Beil's company Beauwin, which indirectly holds 10 per cent of Beaufort Hotel in Singapore. The remainder is held by a non-wholly owned subsidiary of HKR.

In addition, it gets the rights to the Beaufort logo used by the HKR Group's hotels.

The deal will be settled through the waiver by Beaufort Hotels of a loan due from Mr Beil.

The deal is a connected transaction under stock exchange listing rules for HKR and Mingly.