Puncak Niaga had entered into a SPA with Alpha Galaxy for the disposal of 3 leasehold land with 99 year lease located in Ijok for a total sum of RM306 million.
The group said the proposed disposal is in line with its strategy to monetise its land in Ijok as part of the Group’s broader strategic thrust of sustainable value creation for the shareholders. The total Purchase Price for the Lands was calculated at RM43.00 per square foot (and RM20.00 per square foot for 20,234.3 square metres of buffer zone only in respect of Lot 7094) had been arrived at based on a willing buyer and willing seller and on an as is where is basis after arm’s length negotiations on a discount of approximately RM2.00 per square feet from the fair value of the Lands as at 31 December 2022.
Puncak intends to utilise the proceeds to repay bank borrowings, general working capital, expenses incurred for the land disposal exercise, and taxes. The group is expected to record a net loss of approximately RM22.4 million from the deal.
