Eco World International Bhd. agreed to pay £64.9 million for a 70% interest in six of the 12 British sites that it will gain from its proposed deal for Willmott Dixon's London-based residential development business, Be Living, Reuters reported.
Trading of its securities on Bursa Malaysia Securities Berhad has also been suspended from 9 a.m. to 5 p.m. on Dec. 15., pending the release of an announcement pursuant to the deal.
Following the acquisition of the assets that are spread across Greater London and southeastern England, the Malaysian developer will become a joint development manager alongside its British partner.
Eco World expects to fund the two-staged purchase using proceeds from its April IPO. Additionally, it will use borrowings to fund the purchase of the remaining six sites, whose consideration is yet to be finalized, the Dec. 15 report noted.
According to an earlier release, the company stands to gain access to roughly 6,700 residential units, with a project gross development value of at least £2.5 billion, from the transaction.
Eco World is advised by DLA Piper and KPMG, while Willmott Dixon is being advised by Barclays, CBRE and Clyde and Co.
In a separate release, the company announced the merger of its nomination committee and remuneration committee into a single entity termed the nomination and remuneration committee.
Following the restructuring, which became effective Dec. 14, the committee is composed of senior independent nonexecutive director Cheah Tek Kuang as chairman, with independent nonexecutive directors Azlan Bin Mohd Zainol, Rebecca Fatima Sta Maria and Dato' Siow Kim Lun as members.