SINGAPORE (Jan 11): Keppel Land, the property of Keppel Corp, has entered into a shares sales agreement to divest its 80% effective stake in joint venture company, PT Sentral Tunjungan Perkasa, to PT Indadi Land.

The total consideration amounts to Rp 529 billion ($57 million). PT Sentral Tunjungan Perkasa holds a prime site of 23,300 sqm in Surabaya's central business district. The divestment will yield an after-tax profit of about $32 million for Keppel Land.

Sam Moon Thong, President (Indonesia), Keppel Land, said, "The divestment is in line with the Company's strategy to recycle assets to seek higher returns. Indonesia is one of Keppel Land's key growth markets and we will continue to explore opportunities to scale up our presence in Greater Jakarta. We had recently announced our partnership with Metland to develop about 450 landed homes on a 12-ha site within Metland Puri, a township located adjacent to West Jakarta."

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