Armada bought by state investment firm China Great Wall Asset Management for HK$1.57b
Former owner of SCMP turned into mainland property firm
Armada Holdings, formerly known as SCMP Group, said on Friday its controlling shareholder Kerry Media has agreed to sell its entire 74.19 per cent stake in the company to state investment house Great Wall Pan Asia International Investment, for HK$1.57 billion in cash.
The deal, which represents HK$1.3459 per share, will require independent shareholder approval within five months.
China Great Wall Asset Management, which takes control of Armada via Great Wall Pan Asia International Investment, will become the new controlling shareholders.
The asset management firm is one of four owned by China’s Ministry of Finance, set up to trade distressed assets of the country’s five largest state-owned banks.
After the transaction, Great Wall will then be required to make a general offer, while another pre-condition involves Kerry Group allowing its subsidiary Kerry Properties to buy TV City Property from Armada, for HK$930 million.
The final sale price was determinated by the net asset value and book value of TV City Property, which is based at Clear Water Bay Studio in Hang Hau, Sai Kung in Hong Kong.
TV City Property cost HK$213 million in 1991, while the book value of the land involved was worth HK$893 million at the end of last year.