Tiong Nam’s property arm buys JB land for RM40m

June 6, 2018 | By | Reply More

Grab latest promotion at LAZADA now!

PETALING JAYA: Tiong Nam Logistics Holdings Bhd’s wholly owned subsidiary Medini Heritage Sdn Bhd (MHSB) has entered into a sale and purchase agreement (SPA) with Pasti Prestij Sdn Bhd (PPSB) to purchase a piece of freehold land measuring measuring 40.613ha in Johor Baru for RM40.22 million.

MHSB, which is in the business of property development, plans to carry out real estate development of the land which is expected to be completed within two years.

The land is located in the Eastern Gateway of Iskandar Malaysia, close to Pasir Gudang Industrial Hub and Tanjung Langsat Industrial Park. The land is 5.5km away from the Senai-Desaru Highway, one of Johor’s major expressways, which connects to other major road arteries in the state and 30km away from Johor Baru city centre and the Customs, Immigration and Quarantine complex.

The group intends to fund the payment of purchase price and the development cost of the land through internally generated funds and/or bank borrowings.

The sale and purchase of the land is estimated to complete within six months from the Estate Land Board’s approval.

“The rationale for the purchase of the land is to enlarge Tiong Nam group’s existing land banks in strategic location in order to enhance its future revenue and profit.”

The gearing ratio of Tiong Nam group is expected to increase by 4% following the payment of purchase price. The group’s latest audited gearing ratio as at March 31, 2017 is 109%.

FREE RM12.70 credit upon sign up to discover and book amazing travel experiences with Klook.

Category: News

About the Author ()

Leave a Reply