SET-listed Natural Park Plc (NPARK) has completed a share acquisition agreement with BTS Group Holdings Plc and changed its name to U City Plc, effective yesterday.
Managing director Nakorn Laksanakarn said the company recently completed the acquisition of BTS Assets Co and Kamkung Properties Co from BTS Group Holdings.
Natural Park, BTS Assets and Kamkung Properties have together been renamed U City, with BTS holding a 35.64% stake.
Under the agreement, U City has acquired from BTS Assets and Kamkung Properties the 390-room Eastin Grand Hotel Sathorn on Sathon Road, six rai of land near Phaya Thai skytrain station and the Airport Rail Link (ARL) and 11 rai on Phahon Yothin Road close to Mor Chit skytrain station.
These assets are worth a combined 9.4 billion baht.
In return, U City will issue 200.08 billion ordinary shares at 4.7 satang per share (35.64% of shareholding) and 100.04 billion NPARK-W2 warrant units to BTS Group Holdings.
Natural Park's executive management will stay on as U City's executive management, and the company will remain committed to real estate.
The first development under the U City brand will be on Phaya Thai Road, with access to Phaya Thai skytrain station and the ARL.
"The land on Phaya Thai Road has very high development potential due to its prime location, connected to the skytrain and ARL," Mr Nakorn said.
"Our plan consists of developing office, hotel and retail space for rent. The project will respond to high demand in this area for office space and an increase in numbers of business travellers and tourists after the the Asean Economic Community kicks off late this year.
"With a development value of almost 10 billion baht, we'll launch soon and start construction in 2015."
NPARK shares closed yesterday on the SET at six satang, up one satang, in trade worth 24.1 million baht.
BTS closed at 9.20 baht, unchanged, in trade worth 103 million baht.