KUB falls 2.53% on disposing factory and land in Mukah

 

KUALA LUMPUR (July 24): Shares in KUB Malaysia Bhd fell 2.53% this morning after the firm said it is selling its factory and land in Mukah, Sarawak for RM43 million and RM1.8 million respectively.

At 9.26am, KUB dipped 1 sen to 38.5 sen for a market capitalisation of RM214.24 million.

The group is selling the factory (inclusive of ancillary equipment and machinery) and the 60-hectare plot of leasehold land to Sinong Pelita Oil Mill Sdn Bhd.

Proceeds from the sale of the factory will be used to settle bank borrowings and reduce other debts, while proceeds from the sale of the land will be used for operational requirements — with the proposed disposals slated for completion within 90 days, with a 30-day extension option at 8% interest per annum.

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