Ivory again seeks more time to fulfill conditions to complete RM150m land sale

KUALA LUMPUR (Dec 12): Ivory Properties Group Bhd is once again seeking more time to fulfill the conditions precedent for the proposed sale of a piece of freehold land in Jesselton, Penang, for RM150 million — the third extension it has announced in relation to the disposal.

The land measures some 21.78ha, and the extension this time is for 12 months until Dec 16, 2018.

In a filing with Bursa Malaysia yesterday, Ivory’s wholly-owned subsidiary Ivory Indah Sdn Bhd received a confirmation in writing from the buyer, Jesselton Peak Sdn Bhd, of a mutual agreement to further extend the fulfillment date of the conditions precedent under the sale and purchase agreement.

“Relevant announcements on the progress will be made in due course,” Ivory added yesterday.

Among the conditions precedents under the sale and purchase agreement inked between Ivory Indah and Jesselton Peak in Jan 14, 2015, were that Ivory Indah had to settle or resolve a civil suit under which an injunction has been placed on the land in favour of Ivory Indah.

Ivory bought the land on Aug 6, 2007 for RM53 million, and was expected to gain approximately RM38 million or 8.53 sen from the disposal of the freehold land.

Ivory obtained its shareholders approval to sell the land on Nov 25, 2015. Following that, Ivory announced two mutual agreements to extend the date for the fulfillment of the conditions precedent — for a period of nine months each, first to March 16, 2017, and then to Dec 16, 2017, before the latest extension today.

The proposed disposal of the land was initially targeted for completion in December 2016.

At closing, Ivory shares remained flat at 32.5 sen yesterday, for a market capitalisation of RM159.28 million. — theedgemarkets.com

For more stories, download EdgeProp.my pullout here for free.