Sime Darby and E&O Seal Elmina West Land Purchase Deal

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Kuala Lumpur, 4 July 2014 -?Sime Darby Property Berhad has entered into a sale and purchase agreement to sell a piece of land in Elmina West to Eastern & Oriental Berhad for RM239.8 million, sealing a partnership that will enhance the value of a distinctive themed township in the Klang Valley.

The agreement was signed earlier today between Sime Darby Property and E&O s units, namely Sime Darby Elmina Development Sdn Bhd (SDED) and Eastern & Oriental Express Sdn Bhd. This involves the sale of approximately 135 acres of freehold land in Elmina West, part of the larger 5,000 acres of City Of Elmina which will be developed into a Wellness and Liveable City.?

The purchase price was appraised by an independent registered valuer. It is expected that the actual gross development value (GDV) would potentially be higher than the estimated baseline GDV of RM1.5 billion. As part of the agreement, E&O has agreed to share the amount of the actual GDV that exceeds the baseline GDV with an agreed sharing ratio of 80:20, whereby E&O will pay SDED the amount equivalent to 20% of the enhanced GDV.

Dato Seri Wahab Maskan, Group Chief Operating Officer of Sime Darby Berhad and Managing Director of Sime Darby Property, said, We re pleased to have sealed this deal with a reputable partner like E&O which has the expertise and capabilities to create a niche development with a distinctive wellness characteristic that will enhance the City of Elmina, which has already gaining popularity as a township known for liveable characteristics.

What s more, this mutually-beneficial decision shows that both parties are committed to collaborate on good prospects to develop distinctive products based on our unique strengths. This will undoubtedly enable Sime Darby Property to enhance the value of our landbank, while we build sustainable communities.

The two parties had in September 2013 signed a Memorandum of Agreement to facilitate the negotiation of the SPA terms.

E&O Group Managing Director, Dato Terry Tham Ka Hon said E&O is looking forward to participate in the development of Elmina West in the City of Elmina as it represents a vital new growth engine for us in the Klang Valley.

This is an excellent opportunity for E&O to leverage our experience and expertise in developing premier properties and to tap on the increasing interest, heightened aspirations and growing demand for wellness to be incorporated into our lifestyles.

Dato Tham said At a strategic level, our Elmina West venture reflects the spirit of collaboration between E&O and Sime Darby that is aimed at establishing synergistic benefits and creating value for shareholders of both companies.

The proposed development by E&O in Elmina West in the City of Elmina township will be aligned with the overarching aim of creating a wellness and liveable city dedicated to the pursuit of a healthy and balanced lifestyle.?

E&O s development land in Elmina West fringes a 2,700 acre forest reserve on the west and on the southern section, the 300-acre Elmina Central Park. Endowed with such natural resources at its doorstep and coupled with the 70km cycling and jogging track weaved into the development, the site is ideal for the creation of a living environment that is premised on wellness.

The Elmina City Centre (ECC), which will be the main commercial hub, Wellness Cluster and shopping destination of the City of Elmina, intersects with E&O s proposed development. The ECC is expected to be a catalyst for economic growth along the Guthrie Corridor Expressway, fuelled by the local business and residential communities within the City of Elmina as well as the existing population in the neighbouring residential areas of Denai Alam and Bukit Subang.

The City of Elmina will enjoy excellent connectivity and is easily accessible via several major highways. ?Connectivity to this area will be further enhanced with the proposed new Damansara-Shah Alam Elevated Expressway (DASH) that will provide linkages to areas such as Subang, Kota Damansara and Mutiara Damansara, which is expected to be completed in 2019.

For further information please contact:

Sherliza Zaharudin

Head, Corporate Communications

Sime Darby Property Berhad

Mobile: +6019 282 5887

E-mail: sherliza.zaharudin@simedarby.com

Karen De Cruz

General Manager, Corporate Communications

Eastern & Oriental Berhad

Mobile: +6016 296 5778

E-mail: karen@easternandoriental.com?

About The E&O Group

Eastern & Oriental Berhad (collectively referred to as The E&O Group or E&O ) is listed on the Main-Board of Bursa Malaysia. Its reputation as a premier luxury lifestyle property developer with a proven track record for delivering innovative concepts and high standards of quality, is built across a series of exclusive addresses in Kuala Lumpur (KL) and Penang Island.

The Group s past signature projects include the high-end Dua Residency Condominium in the KL city centre and Idamansara and Seventy Damansara exclusive landed homes in upscale Damansara Heights. E&O s newest completed development in the heart of KL, St Mary Residences, is styled after Manhattan s iconic loft apartments and represents the latest in urbane and elegant city living. On Penang Island, E&O s masterplanned seafront development Seri Tanjung Pinang is one of the most sought-after residential addresses on the island, especially with its latest launch, the Quayside and Andaman seafront resort condominiums. The neighbouring Straits Quay festive retail marina brings to life the holistic concept of living by-the-sea for residents of Seri Tanjung Pinang.

In Johor, E&O has embarked on a new joint-venture project with the wholly-owned subsidiaries of Khazanah Nasional Berhad and Temasek Holdings (Private) Limited to develop the 207-acre Avira wellness-themed development in Medini, Iskandar Malaysia.

E&O s core of property development is supported by a cachet of complementary lifestyle elements. In the hotel space, E&O is known for its iconic heritage hotels such as the Eastern & Oriental Hotel in George Town, Penang and the Lone Pine Hotel, the first beach front hotel on Penang s famed Batu Ferringhi tourist strip. E&O Residences Kuala Lumpur in the city s Golden Triangle represents E&O s extension of its hospitality expertise into the management of serviced residences. E&O s business in the lifestyle F&B space is represented via its 100% ownership of The Delicious Group of restaurants in Kuala Lumpur and Singapore. These elements as well as the Performing Arts Centre of Penang and Straits Quay Convention Centre reinforce E&O s position as a true lifestyle property development Group