Oxley Holdings Ltd.'s Oxley Gem Pte. Ltd. subsidiary terminated a contract for the sale of the Mercure and Novotel hotels in Singapore to Gracious Land Pte. Ltd., under a S$950.0 million deal.
The agreement for the hotels at 28 and 30 Stevens Rd. was called off as the purchaser failed to pay the S$38.0 million subsequent deposit for the acquisition, which constitutes a material and/or repudiatory breach of the contract.
As such, the purchaser requested to refund the S$9.5 million initial deposit paid to the seller, however, Oxley Gem said the deposit is nonrefundable as stipulated in the terms of its letter of intent.
Oxley Holdings added that it will continue to explore opportunities with respect to the two hotels.
As of March 19, US$1 was equivalent to S$1.35.