Jardine Cycle & Carriage (JC&C) agreed to sell its Singapore and Malaysia automotive distribution and retail businesses to Indonesia’s PT Chandra Asri Pacific.
The transaction involves a cash consideration of S$265 million (approximately US$209 million). JC&C is also eligible for a potential earn-out payment of up to S$30 million.
The sale will result in an estimated gain on disposal of about US$221 million for JC&C. As part of the agreement, the buyer will take over approximately S$333 million in intra-group loans.
The divested portfolio includes dealerships for prominent brands such as Mercedes-Benz and Kia. JC&C intends to use the sale proceeds to reduce its corporate net debt.
This move allows the company to sharpen its focus on core markets in Indonesia and Vietnam. The deal stems from a broader strategic review currently being conducted by the Jardine Matheson group.