CSE Global seeks to dispose US industrial property for US$29.3 million

CSE Global’s indirect wholly owned subsidiary, Volta Properties, entered a purchase and sale agreement with Gladstone Commercial on Dec 31 for the proposed disposal of an industrial property in the United States for US$29.3 million.

Incorporated in Delaware, Gladstone Commercial is an independent third party that is not related to the company.

In a bourse filing on Friday (Jan 3), the technology solutions provider said that the proposed disposal would allow the group to monetise the property and free up capital to purchase a larger property in the US for the expansion of its business.

Located in North Houston, Texas, the industrial manufacturing property consists of two buildings and is currently tenanted to CSE W-Industries, which is also a wholly owned subsidiary of the company, for its manufacturing purpose.

Following the completion of the disposal, CSE W-Industries intends to continue to lease the property from Gladstone Commercial, for use as its manufacturing plant.

Shares of CSE Global ended S$0.01 or 2.4 per cent higher at S$0.425 on Friday.