KUALA LUMPUR (July 6): Bina Darulaman Bhd (BDB) is disposing of two pieces of agricultural land in Bandar Amanjaya, Kedah, spanning some 55.47 hectares (128.26 acres) for RM24.02 million.
In an exchange filing today, BDB said its wholly-owned subsidiary BDB Land Sdn Bhd is selling the plots to property developer Paramount Property (Utara) Sdn Bhd.
“The land disposal is expected to result in a gain on disposal of approximately RM9.6 million, after deducting net carrying value of the land and the estimated expenses for the disposal,” it said.
Explaining the sale, BDB said it will unlock the lands’ value, since the group has no immediate plan to develop the land.
“The proposed disposal is in the best interest of the company and will enable the company to raise funds for the working capital requirements and/or repayment of borrowings of the company,” it added.
BDB said the net proceeds are expected to be fully utilised within 12 months from the completion of the disposal.
BDB’s share price settled half sen or 1.9% higher at 27 sen today, giving the group a market capitalisation of RM82 million.
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