GSH Corp. Ltd., a Singapore company diversifying into property development, headed for the highest close in 10 months after it jointly bought a majority stake in Malaysia’s Sutera Harbour Group Sdn. for 700 million ringgit ($213 million).
The stock gained as much as 13.6 percent, the most in more than 10 months, to 9.2 Singapore cents and traded at 8.7 Singapore cents as of 2:14 p.m. local time. GSH now jointly owns 77.5 percent of Sutera Harbour, which operates two five-star hotels in Kota Kinabalu and the Sutera Harbour Marina and Country Club, according to a statement.
GSH bought the stake with TYJ Group Pte., the investment vehicle of its executive chairman Sam Goi Seng Hui, known as the “spring roll king.”
“Kota Kinabalu is a rising property hotspot in Malaysia and we see robust potential for prime real estate in the city, fueled by strong tourism growth from northeast Asian countries such as Korea, Japan, Hong Kong and China,” Gilbert Ee, GSH’s chief executive officer, said in the statement yesterday. “We see great potential in Kota Kinabalu’s luxury hospitality sector as well as premier resort homes.”