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- In August, E&O inked a deal to sell two adjoining freehold land parcels in Hammersmith—held under its indirect subsidiary Hammersmith Properties Ltd—to Varsity Capital 1 Propco Ltd for up to £90.54 million (RM515.8 million).
KUALA LUMPUR (Nov 28): Property developer Eastern & Oriental Bhd (KL:E&O) said on Friday it would consider divesting its final UK asset, the 54-unit Lincoln Suites at Princes House near Covent Garden, at the right price.
Managing director Kok Tuck Cheong (pictured) said the group is “not in a hurry” to dispose of the asset but views the potential sale as part of ongoing efforts to monetise E&O’s non-core assets to manage debt and support future projects.
“If there is a willing buyer at the right price, we are willing to offload the asset. Even if we do sell Lincoln Suites, we will continue to be proactive to look for new opportunities in the UK. Selling our UK assets is due to the current economic situation there, as the economy has been slowing,” he said at the group’s second-quarter financial results briefing on Friday.
In August, E&O inked a deal to sell two adjoining freehold land parcels in Hammersmith—held under its indirect subsidiary Hammersmith Properties Ltd—to Varsity Capital 1 Propco Ltd for up to £90.54 million (RM515.8 million). The parcels, acquired in January 2015 for £57 million, form part of E&O’s non-core UK portfolio.
The group sold ESCA House, Bayswater in 2017 for £13 million, down from its £27.65 million purchase price in 2014.
As at end-September, E&O’s total borrowings rose to RM1.83 billion, from RM1.71 billion at end-March, while net gearing increased to 0.66 times from 0.59 times six months earlier. Cash and bank balances stood at RM288.2 million at end-September.
E&O’s net profit for the second quarter ended Sept 30, 2025 (2QFY2026) rose to RM50.24 million from RM30.39 million a year earlier, as revenue climbed 19.5% to RM204.36 million from RM171.03 million, thanks to higher revenue recognition from ongoing projects, higher other income and lower other expenses.
For the first six months of FY2025, net profit rose 40.9% to RM95.66 million from RM67.91 million in the same period a year earlier, as revenue increased 15.2% to RM387.87 million from RM336.68 million.
On Friday, shares of E&O fell as much as 15.5 sen or 20% to 60.5 sen, its lowest level since January 2024. The counter closed at 71 sen after more than 71 million shares changed hands. At the last price, the company has a market capitalisation of RM1.8 billion.
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