Unisem (M) Berhad via its indirect subsidiary PT Unisem had entered into a conditional sales and purchase agreement with PT Infineon Technologies Batam for the disposal of its land and building held under 2 plots of land covering a total area of approximately 30,271 square meters.
The group confirms the consideration sale price for the 2 plots is USD34 million or RM143.31 million.
The Land and Building is held under 2 plots of land with a measurement of 21,280m2 located in the Province of Riau, Kota Batam, and the other plot measures 8,991m2 located in the Province of Riau, Kota Batam. Unisem says the consideration was based on the prevailing market price on an ‘as is where is basis’ and on a valuation carried out by the purchaser in December 2021. A valuation was carried out by PT Unisem in November 2018.
Unisem decided to sell the property, after the discontinuance of PT Unisem’s operations and added that the management had performed an assessment on the recoverability of the carrying amounts of the property, plant and equipment. The review led to the recognition of impairment losses by the Group in FY2020 and the carrying amount was written down to RM 9,069,000 as of 31 December 2021
The proceeds from the Disposal will be used to fund Unisem’s operations in the form of working capital and capital expenditure.