IOI Properties Group Bhd (IOIPG) has entered into a conditional agreement to acquire full ownership of Shenton 101 Pte Ltd, the company that owns Shenton House in Singapore, through its wholly owned subsidiary, Boulevard View Pte Ltd. The transaction involves a nominal purchase price of S$1, but carries an aggregate value of approximately S$217.06 million (RM696.43 million) when including the repayment of shareholder advances.
The agreement, disclosed in a filing with Bursa Malaysia, is made with IOIPG’s group chief executive officer and major shareholder Datuk Lee Yeow Seng, who also serves as the director and sole shareholder of Shenton 101. This deal reverses IOIPG’s earlier decision in August 2024 not to proceed with Lee’s acquisition proposal, which was previously deferred due to the group’s capital commitments at that time. IOIPG stated that its financial position and strategic priorities have since shifted, reinforcing its commitment to expanding and strengthening its footprint in Singapore through high-quality, income-generating assets and development opportunities.
Shenton House, a 25-storey strata-titled commercial property completed in the mid-1970s, features a 20-storey office tower atop a five-storey podium that includes retail spaces and a multi-storey car park. The building has a gross floor area of about 28,356 square meters and a net lettable area of 20,276 square meters. IOIPG acquired Shenton House in June 2024 for S$538 million following a collective sale. The company has plans to redevelop it into a mixed-use project with Grade-A office space, a luxury hotel, and retail components.
In a separate announcement, IOIPG confirmed that it has received approval from Bursa Malaysia to list its proposed RM7.58 billion IOIPG Malaysia Real Estate Investment Trust (IOIPG-REIT) on the Main Market. The approval, conveyed through a letter dated September 30, covers the admission of IOIPG-REIT to Bursa Malaysia’s official list, as well as the listing and quotation of 5.5 billion units under the REITs sector. Additionally, the exchange authorized the listing of up to 300 million new units that will be used as payment for management fees to IOI REIT Management Sdn Bhd, which acts as the REIT manager.
The REIT listing aligns with IOIPG’s broader strategy of leveraging income-generating assets to enhance its financial stability and generate long-term shareholder value.