Hong Seng Consolidated Berhad’s healthcare arm HS Bio Sdn Bhd (HS Bio) has entered into a Shares Sale Agreement (SSA) with the shareholders of Premiumway Development Sdn Bhd (PDSB) to undertake a proposed acquisition of 100% equity interest for a total purchase consideration of RM1.09 million through its wholly-owned subsidiary NeoGenix Laboratoire Sdn Bhd.
HS Bio intends to acquire the properties owned by PDSB to allow HS Bio to grow and expand its healthcare operations in particularly its lab coverage and capacity to help the nation fight against Covid-19.
“The proposed acquisition is aimed at obtaining the properties belonging to PDSB for the purpose of setting up HS Bio’s head office following the Group’s progressive expansion which requires a larger operating space. As HS Bio continues to expand and grow its healthcare business, it is crucial for us to centralise and integrate the operations of our healthcare subsidiaries at the said properties for better management and efficiency of business operations,” Hong Seng executive director and HS Bio director Christopher Chan said.
The Group reckons that the strategic central location will also be able to attract a talent pool from the numerous local and international universities which are all located within a 10km radius on top of the future property value appreciation will help contribute positively to the Group’s future earnings and financial position moving forward.
PDSB is the registered proprietor and beneficial owner of two units of industrial properties located at Section 51, Petaling Jaya, comprising a single-storey detached factory with an annexed 4-storey office block with total built up area of 33,500 sq. ft., and a single-storey detached office warehouse with an annexed 2-storey office block with total built up area of 9,272 sq. ft.