Singapore Post (SingPost), by way of unwinding crossholdings with Alibaba Group Holdings, has completed the disposal of its interest in Shenzhen 4PX Information and Technology, held by Quantium Solutions International (QSI), now a subsidiary of SingPost.
In April, SingPost, together with Alibaba Group Holdings, announced the mutual agreement to unwind cross-holdings in 4PX and QSI.
QSI is majority-owned by SingPost, at 66% with Alibaba owning a minority stake of 34%. QSI holds a 17.61% stake in 4PX, a majority-owned subsidiary of Alibaba’s logistics arm, Cainiao.
SingPost will acquire full ownership of QSI, by paying Alibaba $36.89 million for its 34% stake in the company. The $36.89 million is based on a fair value assessment by KPMG as at Sept 30, 2024 which valued the company at $108.5 million.
Meanwhile, Cainiao will acquire QSI’s 17.61% stake in 4PX for $92.75 million.
SingPost anticipates receiving a cash inflow of about $55.86 million from the transaction. This is based on the sum paid by Cainiao for QSI’s stake in 4PX (approximately $92.75), minus the value of QSI shares owned by Alibaba as assessed by KPMG at $36.89 million.
The aggregate consideration of RMB515.3 million was paid by Cainiao to QSI in cash, and following the completion of such disposal, the SingPost Group no longer holds any interest in 4PX.
Shares in SingPost closed 0.5 cents higher or 0.885% up at 57 cents on June 9.
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