Acquisition of BPS commercial assets
Battersea Power Station Development Company (BPSDC) is pleased to confirm that the re-organisation of the ownership of commercial assets within the Grade II* listed Power Station has now completed. The transaction demonstrates the continued commitment from its shareholders and secures the future of the iconic building for generations to come.
The shareholders of the commercial assets in the new structure are Malaysian investors, Permodalan Nasional Berhad (PNB), one of the largest asset management companies in Malaysia and The Employees Provident Fund of Malaysia (EPF). They have acquired the commercial assets in the Power Station through a joint venture, of which they own 65% and 35% respectively, for a total purchase price of £1,583 million.
The Power Station building accounts for some six acres of the overall 42-acre regeneration site and is regarded as the jewel in the crown of the project. It is currently being restored and will, on completion from the end of 2020, become home to hundreds of shops, restaurants, cafes, event spaces and cinemas as well as new homes, Apple’s London campus and business members club, No18.
PNB and EPF, which is Malaysia’s premier retirement savings fund, already own 70% of the entire Battersea Power Station development through their holdings in the original developers and in the case of EPF through a direct 20% holding. The transaction does not affect the shareholdings in Battersea Project Holding Company Limited, which remain unchanged between S P Setia (40%), Sime Darby Property (40%) and EPF (20%). UK-based BPSDC and its subsidiaries will continue as the development, estate and asset manager for all phases of the overall development.
All shareholders are committed to the development and are positive on its long-term prospects.
Commenting on the completion, Dato’ Ahmad Pardas Senin, Chairman of Battersea Project Holding Company Ltd, said:
“We are delighted that this reorganisation has concluded, giving this iconic landmark a sound footing for the future and ensuring it is expertly curated and managed in the longer term.”
Datuk Wong Tuck Wai, Chairman of BPSDC, added:
“The closure of this transaction marks a significant milestone for all parties involved as it allows the parties to focus on what they do best respectively and specifically enhance the roles each plays in the overall Battersea project.”
Simon Murphy, Chief Executive of BPSDC, continued:
“Significant headway has already been made this year in terms of the restoration works which we would not have achieved without the support and guidance from our shareholders and stakeholders. We are excited by the prospect of the Power Station and surrounding area becoming a new, thriving London destination for future generations to enjoy.”