Dec. 22 (Bloomberg) -- UOL Group Ltd. has agreed to buy a 9.7 percent stake in United Industrial Corp. for S$320.5 million ($245 million) from United Overseas Bank Ltd., UOL said in a statement to the Singapore Stock Exchange today.
UOL will pay S$2.40 a share for 133,553,900 United Industrial shares in cash, boosting its stake to 42 percent from 32.3 percent, it said in the statement.
The purchase will make UOL the single largest shareholder in the property developer, according to the statement. The acquisition will be financed by bank borrowings and internal funds, the company said.
Shares of United Industrial rose 0.42 percent to S$2.41 today while UOL stock rose by 0.65 percent to S$4.62 on the Singapore Stock Exchange.
The UIC Group has a portfolio of more than 2 million square feet of office space and more than 1 million square feet of retail space in Singapore, according to the statement.
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