OKA Corporation Bhd (OKA) made the announcement that its wholly-owned subsidiary, OKA Concrete Industries (OCI)
has entered into a Sale and Purchase Agreement for the acquisition of a piece of vacant land in Senai, Johor for the purchase amount of RM14,243,538.50.
According to the official statement, the purchase price of RM14,243,538.50 is arrived at on a willing buyer and willing seller basis after taking into consideration the present market value of the land at the surrounding areas.
The Proposed Acquisition is proposed to be funded by internally generated funds and/or bank borrowings of OCI.
The property acquired is a piece of vacant land measuring in area of 3.5764 Hectare and is located adjacent to the present factory of OCI, in Senai. The land is a freehold vacant land and there is no restriction on transfer.
“The transaction is an outright purchase of land only and has no effect on the net profits of OKA. The transaction will not have any material effect on the net assets per share,” the statement said.
“The Proposed Acquisition is not expected to have any material effect on the gearing level of OKA Group for the financial year ending 31 March 2023,” it added.