Magma Group Berhad has completed the disposal of its entire 20% equity interest in Heritage Lane Sdn Bhd the owner of Impiana KLCC Hotel, for a total cash consideration of RM63 million.
The disposal was undertaken by Astaka Mekar Sdn Bhd, a wholly owned subsidiary of Magma, of its entire 20% equity interest in Heritage Lane to Harum Aspirasi Sdn Bhd. The balance disposal consideration has been fully satisfied by the purchaser in accordance with the terms and conditions of the Share Sale Agreement, marking the completion of the transaction.
Magma had previously said that it intends to allocate RM45 million of the proceeds towards the repayment of existing borrowings, including a term loan and factoring facility, with estimated annual interest savings of approximately RM3.9 million. A further RM12.0 million is intended to support investment in the Group’s existing businesses to enhance operational capacity, expand market reach and strengthen its recurring income base.
