Listed Companies' Announcement
NH CERAMICS LTD
DISPOSAL OF PROPERTY BY SUBSIDIARY
The Board of Directors of NH Ceramics Ltd (the "Company") wishes to announce that its wholly-owned subsidiary, Nam Huat Tiling & Panelling Co Pte Ltd ("NHTP"), has granted an option to Tanty Elsany Lo & Siauw Welly Susanto (the "Purchasers") to purchase a freehold residential apartment at the D'Ecosia condominium unit #05-06, 27 Still Road South, Singapore (the "Property") for S$1,220,000.00. Such option was exercised by the Purchasers on 27 May 2004 and completion of the sale of the Property is scheduled to take place on or before 28 June 2004.
The sale price of S$1,220,000.00 was arrived at by negotiations on a willing seller willing buyer basis and is to be wholly satisfied in cash. The net asset value of the Property as at 30 June 2003 amounted to 9.75% of the Group's latest audited net asset value. The value of the consideration received amounted to 17.07% of the Company's market capitalisation. A copy of the Sale and Purchase Agreement is available at the registered office of the Company at 1 & 3 Tuas Avenue 8 Singapore 639217 for inspection.
The net book value of the Property as at 27 May 2004 was S$1,219,145.00 and there is a gain of S$855.00 attributable to the disposal of the Property. However, there will be no net proceeds after deducting the agent commission, legal fees and repayment of bank financing.
The transaction has no material effect on the net tangible assets per share nor the earnings per share of Company for the financial year ended 30 June 2003, assuming that the transaction had been effected at the beginning of that financial year.
NHTP had previously purchased the Property for investment purposes. However, the Board of Directors have decided to dispose of the Property as it is no longer in the interest of NHTP to continue holding the Property in view of the existing property climate.
None of the directors or controlling shareholders of the Company has any interest, direct or indirect, in the disposal of the Property.
Submitted by Ricky Paul Goh Moh Chye, Managing Director on 08/06/2004 to the SGX