DJ Fraser & Neave Mulls Property Spinoff in Strategic Review
By Chun Han Wong
SINGAPORE--Fraser & Neave Ltd. (F99.SG), a Singapore-based conglomerate, said Friday it is considering hiving off its property arm from its food, beverage and publishing businesses.
The 130-year-old company will name advisers to undertake a strategic review of its operations to explore options to "unlock shareholder value," it said in a filing to the Singapore Exchange. One option being considered is "a segregation of its property-related businesses from its non-property related businesses."
In fiscal 2012, Fraser & Neave's revenue totaled 5.57 billion Singapore dollars (US$4.4 billion), of which about 24% came from its property business.
The company was acquired this year by Thai billionaire Charoen Sirivadhanabhakdi, who won a months-long takeover battle against Overseas Union Enterprise Ltd., a property developer controlled by Indonesia's Riady family.