GSH

GSH: Ventures into the resorts business, as the group and TYJ Group, the investment vehicle of "popiah king" Sam Goi , announced that it will be jointly investing about RM700m for a 77.5% stake in The Sutera Harbour Group. Eagle Origin Limited (EOL), currently the sole owner of The Sutera Harbour Group, will hold the remaining 22.5%. EOL is owned by Edward Ong Han Nam, the founder of Sutera Harbour Resort. After the acquisition, The Sutera Harbour Group will hold 100% of Sutera Harbour Resorts, which operates two five-star hotels in Kota Kinabalu, Malaysia, as well as the 104-berth Sutera Harbour Marina and Country Club which has a 27-hole championship golf course. Of the RM700m, RM250m in equity capital will be injected by GSH's wholly owned Borneo Ventures into The Sutera Harbour Group, the remainder will take the form of loan capital, with Borneo Ventures and TYJ Group subscribing to new cumulative redeemable preference shares in The Sutera Harbour Group for RM260m and RM190m, respectively. GSH notes that Kota Kinabalu is a rising property hot spot in Malaysia and the group sees robust potential for prime real estate in the city, fuelled by strong tourism growth from North-east Asian countries such as Korea, Japan, Hong Kong and China.