KUALA LUMPUR: Majuperak Holdings Bhd
via its wholly-owned subsidiary Syarikat Majuperak Bhd is disposing of the Brewster Village building together with two tracts of land in Ipoh, Perak, for a total consideration of RM18.4mil.
In a filing with Bursa Malaysia, the group said it had inked the share sale agreement for the disposal of the 8,157.45 sq m land and the building with a gross built-up area of 41,030 sq ft, with Ladang Lekir Sdn Bhd, a unit of Perak Agro Oil Palm Sdn Bhd, which in turn is a wholly-owned subsidiary of Perak State Agricultural Development Corp.
The proposed disposal is deemed a related party transaction due to the connection between Majuperak's parent company, Perak Development Corp, and Perak State Agricultural Development Corp.
Minus the initial cost of investment of RM4.57mil made in 1999, legal fees and taxes, Majuperak expects to realise a net gain of RM12.32mil from the disposal.
In the financial year ended Dec 31, 2022, the property contributed a gross property revenue of RM34,800.
In the event of a sale, the proceeds of RM18.4mil will be used to pare down the group's borrowing and finance its working capital requirements.
According to Majuperak, it will seek shareholders' approval for the proposed disposal as it forms part of its regularisation plan, which is still in the midst of being finalised.
