SINGAPORE-BASED Fraser Property Ltd. has completely divested from its Philippine operations with the sale of more than P1.7 billion worth of assets in Makati City.

In a disclosure to the Singapore Exchange Securities Trading Ltd., the real estate company said it has sold 100,000 ordinary shares in Frasers Hospitality Investment Holding (Philippines) Pte. Ltd. (FHIH Philippines) to Bond Capital Partners Pte. Ltd. on Aug. 30. This represents 100% of the company’s issued and paid-up capital stock.

The transaction is worth P1.7 billion, plus S$5,938, or about P222,888, coming from the net working capital amount of FHIH Philippines and its subsidiaries on a consolidated basis as of Aug. 30.

The sale price also takes into account S$23.54 million worth of a shareholders’ loan from the company to FHIH Philippines.

“This disposal of a non-core asset is in line with the Group’s strategy. Proceeds from the Group’s active portfolio management initiatives can be redeployed for development and/or enhancement of assets to enhance the Group’s portfolio as well as for general working capital purposes,” the company said.

FHIH Philippines owns, through its subsidiaries, 69 condominium units across different floors in Forbes Tower Manila in Salcedo Village, Makati City. Its hospitality unit, Frasers Hospitality, operated the property as serviced residences under the name Fraser Place Manila.

Following its divestment, the properties will no longer serve as serviced residences.

FHIH Philippines’s net tangible asset value (NTA) stood at S$17.6 million in its financial year ending Sept. 30, 2018.

Fraser Property said the divestment is part of the ordinary course of its business, and is not expected to have a material effect on the NTA per share and earnings per share of the group for the current financial year.

Fraser Property was first established in Australia in 1924, before putting up a headquarters in Singapore. It primarily develops and manages residential, hospitality, retail, commercial, industrial, and logistics properties in several countries such as China, Vietnam, and Thailand.

The group also manages five business parks in the United Kingdom, as well as 51 industrial properties in The Netherlands, Germany, and Austria. It also owns and operates 148 serviced apartments or hotels across more than 70 cities, according to its website. — Arra B. Francia