Ossia International Ltd Announces Major Property Acquisitions and Subsidiary Incorporations

Singapore, 10 December 2025 – Ossia International Ltd (“Ossia” or the “Company”), a Singapore-incorporated company, has made a series of significant corporate moves that could potentially impact its financial standing and share price. The announcement covers the incorporation of new subsidiaries, entry into property purchases, and the acquisition of a real estate holding company. These transactions are classified as a major transaction under SGX listing rules, requiring shareholder approval.

Key Highlights of the Announcement

• Incorporation of New Subsidiaries:
  • Ossia Capital Pte. Ltd. (“OC”) was incorporated on 8 December 2025 as a special purpose vehicle for property investments.
  • OC subsequently set up a wholly owned subsidiary, OSA 1 Pte. Ltd. (“OSA 1”), focused on property investment.
• Asset Acquisition – Purchase of Property 1:
  • OSA 1 entered into an option to purchase with Santa Grand Investments Pte. Ltd. for the acquisition of a leasehold property at 21 Tan Quee Lan #01-03 and #01-03A, Singapore 188108.
  • Purchase price: S\$14,000,000, with tranches:
    • S\$140,000 upon signing the option
    • S\$560,000 within 6 weeks
    • Balance S\$13,300,000 by completion (scheduled for 4 March 2026)
  • Property 1 is a leasehold (999 years from 1827), area: 271.0 sqm.
  • Valuation: Indicative from bank; formal valuation to be conducted.
• Share Acquisition – 100% Acquisition of Global Ten Realty Pte Ltd (“GTR”):
  • OC will acquire all shares of GTR, which owns 10 Bussorah Street, Singapore 199488 (“Property 2”).
  • Property 2: Leasehold (99 years from 2003), area: 61.5 sqm, held by GTR.
  • Purchase price: S\$5,500,000, with tranches:
    • S\$55,000 upon signing Letter of Intent
    • S\$220,000 upon satisfactory due diligence
    • Balance S\$5,225,000 by completion (to coincide with Property 1 acquisition)
  • GTR’s unaudited net tangible assets: S\$240,000; net loss after tax (FY ended 30 Sept 2025): S\$38,473 (including S\$88,743 loan interest).
  • Valuation: Indicative from bank; formal valuation pending.
• Funding and Financial Effects:
  • Both acquisitions will be funded by a mix of internal resources and bank financing.
  • Assuming 80% loan financing, post-acquisition gearing ratio rises to 23.76% (from zero).
  • Minimal immediate impact on EPS and NTA per share (EPS rises from S\$0.04 to S\$0.04; NTA per share unchanged at S\$0.26).
• Strategic Rationale:
  • Intended to generate stable cash flows and long-term value; rental yields expected to exceed fixed deposit rates.
  • Part of Ossia’s ongoing strategy to deploy excess cash and enhance shareholder value with property investments.
• Regulatory and Shareholder Impact:
  • Transaction size represents 43.12% of Ossia’s market capitalisation, classifying it as a Major Transaction under SGX Rule 1010.
  • Shareholder approval is required, though a waiver from immediate compliance with Rule 1014(2) has been sought and granted.
• Conditions Precedent:
  • Each acquisition is conditional upon the other’s completion and is subject to satisfactory due diligence, no material damage, no legal impediments, and other customary conditions.
• No Related-Party Transactions:
  • No directors or substantial shareholders have interests in the acquisitions or new subsidiaries.
• Inspection and Transparency:
  • Transaction documents are available for inspection at Ossia’s registered office for three months from the announcement date.
• Next Steps:
  • Extraordinary General Meeting (EGM) to be convened for shareholder approval, subject to waiver and regulatory processes.

Potentially Price-Sensitive and Investor-Relevant Points

• Sizeable Transaction: The total consideration of S\$19.5 million (S\$14 million for Property 1 and S\$5.5 million for GTR) is significant relative to Ossia’s market cap and may materially affect the Group’s asset base and gearing.
• Major Transaction Status: As these acquisitions constitute a major transaction under SGX rules, investor attention is warranted regarding the potential impact on financials and strategy.
• Gearing Impact: The Group will move from zero borrowings to a 23.76% gearing ratio, which may affect risk perception and share valuation.
• Strategic Shift: This marks a further shift into property investments, which could change the Group’s risk profile and earnings base.
• Shareholder Approval: The requirement for an EGM and the outcome of the shareholder vote will be closely watched by the market.
• Rental Yield vs. Fixed Deposits: Management expects the rental yield to exceed fixed deposit rates, positioning the acquisitions as income-generating assets.

Conclusion

The dual acquisitions of high-value Singapore properties and a real estate holding company, together with the establishment of new subsidiaries, represent a strategic use of Ossia International’s capital and a significant shift in its asset base. While immediate impacts on EPS and NTA are minimal, the gearing increase and property income potential could have longer-term effects on the Company’s returns and risk profile. Investor attention is warranted, especially given the required shareholder vote and the size of the transaction relative to Ossia’s market capitalisation.

Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation. Investors should conduct their own due diligence and consult financial advisors before making investment decisions. The information is based on the company’s official announcement as of 10 December 2025 and may be subject to change.

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