Supalai Plc, a Thai listed property developer, has sold its 40 per cent stake in Petron Megaplaza, a Grade A office building in the Philippines, to Sky Megaplaza Properties Inc for 1.62 billion pesos ($31 million), according to the Philippine Competition Commission’s announcement.
Sky Megaplaza Properties is a wholly-owned subsidiary of Hong Kong-based private equity fund ARCH Capital’s TRG Asian Partners III, which closed the fund at $355 million in 2016. Over half of the fund corpus has been invested in China and the remainder in other countries including Thailand and the Philippines.
Compared to its investment of 1.34 billion pesos in 2013, Supalai has achieved a 19.7-per-cent economic internal rate of return over 50 months.
Meanwhile, the Thai developer also announced that it has won the bidding for acquiring the 1.12 hectare of former Australian Embassy site on Bangkok’s Sathorn Road for 4.6 billion baht ($138.5 million).
The site covering the land of about 1.2 hectares is located in the prime business area of Bangkok.
Supalai’s chief executive officer Prathip Tangmatithum said the company plans to turn the site into a luxury mix-used project with an estimated investment of 17 billion baht ($512 million) and it will start the construction by mid-2018.
The project will combine luxury condominiums and premium office facilities. It believes that this acquisition will keep its annual revenue growth between 15 to 20 per cent.