JCK Approves 50-year Leasehold Worth ฿1.4bn and Disposition of Shares Worth ฿646M

JCK International Public Company Limited (JCK) has revealed that the board of directors approved Total Industrial Services Company Limited (TISCOM), a subsidiary which JCK holds 100% of shares, to sell 1,620,000 shares or 100% of the registered capital of Bognor Regis Warehouse Limited (Bognor), a Juristic person established in the UK which TISCOM holds 100% of shares, to London & Metric Property Plc or its subsidiaries, operating in real estate business in the UK, for the price of approximately THB646,189,875 (16,750,000 Pound Sterling).

Moreover, JCK ‘s Board of Directors has also approved JCK to enter into a lease agreement by leasing on Ratchaphatsadu Land in special economic zone, located in Atsamart sub-district, Mueang Nakorn Phanom district, Nakorn Phanom province (Ratchaphatsadu Land) totaling 2 plots, approximate area is 1,335 rai 2 ngan 28.1 square wah, for 50 years, for the purpose of creating opportunities and supporting real estate and/or industrial estate expansion which is JCK main business in the long term. The approximate leasing fee and the leasing charge of Rachaphatsadu Land throughout the term of the agreement are totally THB1,462.48 million.

JCK has a plan of using such leasehold for development and construction of commercial or mixed commercial project such as distribution center, industrial zone, and warehouse, in order to make the connection support between each business sector, and utilize the area for the highest efficiency. The total value of leasehold throughout the 50 years of a lease are totally THB1,462.48 million, divided into the leasing charge of Rachaphatsadu Land amount of THB262.62 million and the leasing fee amount of THB1,199.86 million.

JCK foresees the growth potential of Nakhon Phanom province as well as its border that could be connected with nearby countries in the region including Laos, Vietnam, and China, which such area could be developed and improved into the center of transportation and logistics, cultural tourism and important processing industry of the country.
As a result, JCK has an idea of developing the area by applying the combination of provincial strength and provincial strategic plan for the development of Nakhon Phanom.
Therefore,JCK is expecting that the investment in such leasehold will create opportunities and support the expansion of real estate business which is a core business of the Company in the long term.

The sources of funds that will be used for implementing this Project, at the beginning of the development, JCK plans to use the working capital from the operation. Subsequently, in the next phase, JCK expects to obtain the investment funds from financial institutes and/or joint investment with business partners.