Singapore Press Holdings Limited ("SPH") wishes to announce that its wholly-owned subsidiary Orchard 290 Ltd ("O290") (held through wholly-owned subsidiary Times Properties Pte Ltd ("Times Properties")), has entered into an agreement with a syndicate of banks and financial institutions today, for a term loan facility of $610 million for a tenure of five years, arranged by DBS Bank Ltd. The funds will be used to refinance an existing loan facility taken out through Times Properties.
The term loan is secured by way of a legal mortgage over the Group’s investment property, The Paragon in Orchard Road (the "Property"), a debenture over the assets of O290, an assignment of rental proceeds from the Property and the insurances on the Property.
The transaction has no material impact on the earnings per share or the net tangible assets of SPH for the current financial year.
Two of the directors of SPH, Professor Cham Tao Soon and Mr Ngiam Tong Dow, are also Directors of United Overseas Bank Limited, one of the syndicated lenders. Save as disclosed above, none of the Directors of SPH has any interest, direct or indirect, in this transaction.
Issued by Singapore Press Holdings Limited
21 June 2006