Mah Sing Group Berhad is disposing of its Pykett Avenueland in George Town, Penang measuring approximately 13,694.9464 square metres for a cash consideration of RM66,334,950.
The land which was acquired in December 2009 for a proposed high-end condominium development has a net book value of RM61,851,018. The group said the proposed disposal is in line with its strategy to focus more on M-Series type of residential lands for the development of affordable landed and high-rise properties that are in line with current market demand.
The proceeds will unlock financial resources from the undeveloped land and free up cash for utilisation in future land acquisitions. As the loan facility for the Land has been fully settled, the proceeds from the Proposed Disposal are expected to enhance the cash and bank position of the Group.
As of 30 June 2022, Mah Sing’s net gearing is healthy at 0.34 times. Unbilled sales of approximately RM2.16billion further support liquidity and provide future revenue visibility. Following the acquisition of a freehold project, M Minori (Johor Bahru) in June 2022 with an estimated gross development value of approximately RM469million.
