RAFFLES EDUCATION CORPORATION LIMITED

(Incorporated in the Republic of Singapore)

(Company Registration No. 199400712N)

(the "Company")

ANNOUNCEMENT ON POTENTIAL SALE OF PROPERTY

The Board of Directors (the "Board") of Raffles Education Corporation Limited ("Company") wishes to announce that it intends to put its property located at 51 Merchant Road, Singapore 058283 ("Property") up for sale ("Proposed Sale").

The Board has deliberated the Proposed Sale for a period and is of the view that given the current market conditions, it is an opportune time for the Company to realise its investment in the Property. The Proposed Sale would improve the Company's net debt position, allow the Company to unlock value for its shareholders and it is part of the Company's long-term asset rationalisation plans to pay off its borrowings, improve operating efficiencies and net income. The Board is of the view that the Proposed Sale would be in the interests of the Company.

The guide price for the Proposed Sale is contemplated to be approximately S$200 million ("Guide Price").

The Property currently houses the Company's corporate office and college campus. The Proposed Sale may involve the lease back to the Company of the part of the Property comprising the college campus. The Company has not identified any buyer and the Company has appointed property consultancy and investment sales specialists to assist with the Proposed Sale. The Proposed Sale will be subject to the required approvals and consents being obtained.

Shareholders should note that there is no certainty or assurance that the Proposed Sale will take place, or that the consideration for the Proposed Sale will be at the Guide Price. The Company will make further announcements as and when there are material developments on the above matter.

Shareholders are advised to exercise caution when dealing in the shares of the Company and to refrain from taking any action in respect of their investments, which may be prejudicial to their interests. In the event that shareholders wish to deal in the shares of the Company, they should seek their own professional advice and consult with their own stockbrokers.

BY ORDER OF THE BOARD

Raffles Education Corporation Limited

16 August 2021

Attachments

  • Original document
  • Permalink

Disclaimer

Raffles Education Corporation Ltd. published this content on 16 August 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 16 August 2021 10:11:06 UTC.