FE CONSORT INTL (00035) plans to sell a 49.9% stake in The Ritz-Carlton Hotel in Melbourne.

FE CONSORT INTL (00035) announced that on April 1, 2026, the company's wholly-owned subsidiaries FEC Hotel and FEC DCG intend to sell 49.9% of the issued shares of the operating company and 49.9% of the issued shares of the property holding company to Ace Goal Investments Pte.Ltd, as well as assume the sales loans, for a total consideration of 58.1834 million Australian dollars. It is expected that the group will realize a profit of approximately 18.344 million Australian dollars from the transaction. After completion, the operating company and property holding company will be owned by the buyer and seller with 49.9% and 50.1% equity respectively. It is reported that the target group includes the operating company, property holding company, and property company. The operating company is mainly engaged in hotel operations, the property holding company is mainly engaged in investment holding, and the property company is mainly engaged in property investment. According to the sale agreement, the target group will undergo internal restructuring, so that the legal beneficial ownership of the hotel (Melbourne Ritz Carlton Hotel) will be held by the property company shortly before completion. The directors believe that the transaction will (i) realize the value of the hotel; (ii) allow for the realization of transaction proceeds and capital for reinvestment; and (iii) increase the group's liquidity and reduce its net asset liability ratio. The directors believe that the transaction is consistent with the group's strategy of capitalizing on the development surplus of its hotel portfolio and selling non-core assets.