Sapura Industrial Berhad (SIB) has signed a sale and purchase agreement (SPA) to dispose of a vacant industrial land in Ayer Keroh, Melaka, for RM10.48 million as part of its strategy to unlock the value of non-core assets and redeploy capital into business expansion.
The automotive components manufacturer said it executed the SPA with Loongsen Plastics (M) Sdn Bhd on July 8 for the disposal of a 2.163-hectare industrial property held under a 99-year lease expiring on Oct 22, 2073.
The sale consideration of RM10,477,260 will be settled entirely in cash.
The company said the land was acquired about 25 years ago for the purpose of expanding its manufacturing plant in Melaka.
However, after reviewing its operational requirements, the board concluded that future expansion would be better located closer to the group’s existing customers.
