NOBLE green light to sell 2 condos NUE Rama 9-Khu Khot for PROUD to close the deal in July Book special profit Q3/23 : InfoQuest

stock news11:51 a.m.2023-05-29

Mr. Thongchai Busrapan Vice Chairman and Co-Chief Executive Officer Noble Development Public Company Limited (NOBLE) said that the Board of Directors’ meeting on May 26, 2023 resolved to approve the company to sell all ordinary shares. which the company holds in 2 joint venture companies, namely 1. Praram 9 Alliance Co., Ltd. (PA9), a developer of the New District R 9 project (Nue District R9) and 2. Khu Khot Station Alliance Co., Ltd. (KK) is the developer of the New Cross Khu Khot Station project (Nue Cross Khu Khot Station) and has transferred the right of claim on some of the loan debt of the joint venture company. to Proud Real Estel Public Company Limited (PROUD), worth 867.57 million baht according to the proportion in which NOBLE holds 50% of shares.

The reason why the company made a sale transaction in the said project It is in line with the Company’s operating strategy that seeks to generate the highest return on equity ratio and return on investment (Maximize Return on Equity (ROE) & Internal Rate of Return (IRR) from Shortening the holding period and realizing reasonable profits. Both joint venture projects are highly successful projects.

New Cross Khu Khot Station project, which is currently sold out. As for the New District R 9 project, sales are now more than 83%, and the sales value of both projects is still considered a sale at a value that generates good returns in terms of both perceived profit and current. cash back Including various fees that will be received as a joint venture project manager. Therefore, the company views that the sale of both projects during this period is an appropriate time. And can use cash to circulate to invest in new projects. that has higher returns

At the same time, it also improved the company’s capital structure. In addition, the sale of such projects also adjusts the portfolio of joint venture projects in order to add new joint venture projects in the future. Currently, the Company has a joint venture project with TNL Alliance Co., Ltd. (TNLA) at So far 9 projects have been launched, total value of 28.4 billion baht.

In addition, the company still acts as a project manager in the same role. The project will be managed under the company as before. including project name Construction according to the original obligations with customers according to the details specified in the purchase and sale agreement, including after-sales project management and construction work guarantee. so that there is no impact on customers

The process of selling investment and transfer of shares in PA9 and KK, including some shareholder loans, will take place after each party has fulfilled the conditions precedent specified in the share purchase agreement. It is expected to happen by the end of July. 66 As a result, the company will be able to record an extra profit in the third quarter of 2023.

By InfoQuest News Agency (29 May ’23)

Tags: NOBLE, condominium, Thongchai Busaraphan, common stock, Thai stock, Noble Development