Senheng New Retail Berhad is said to be using part of its IPO proceed to purchase a piece of freehold industrial land in Kapar, Klang for approximately RM25.2 million.
The purchase will be conducted by its subsidiary, Senheng Electric (KL) Sdn Bhd for the land measuring approximately 11,744 square metres from Pintaras Jaya Bhd, a public listed company which is principally an investment holding company and involved in the undertaking of piling contracts, civil engineering, building construction works and rental of plant and machinery.
Senheng informs Bursa, that the proposed acquisition is mainly for the company’s future business expansion and exploration of new exclusive brand business. The proposed acquired land is to be utilised as a warehouse for receiving and storage of all products procured from suppliers, as well as to act as a main distribution point to distribute products to other
regional hubs and customers throughout Peninsular Malaysia, Sabah and Sarawak.
It adds the property is strategically located next to the company’s existing Central Distribution Centre, and that the proposed acquisition is targeted to improve inventory management in terms of distance, cost, and time efficiency.
