KUALA LUMPUR (Aug 3): Freight Management Holdings Bhd is buying two pieces of vacant industrial land in Klang for RM56.84 million or RM140 per sq ft.

The group said the freehold land, measuring a combined 405,979 sq ft or 4.67 acres, will be used for the expansion of its third party logistics warehousing and distribution services, which include e-commerce fulfilment and parcel delivery services.

“Given the properties are located in an area with good connectivity and amenities, the proposed acquisitions are expected to contribute positively to the growth of the group,” Freight Management said in a bourse filing yesterday.

The vendor of the land is Cebur Megah Development Sdn Bhd, a wholly-owned unit of Astacanggih Sdn Bhd, whose ultimate holding company is  Boustead Properties Bhd.

The group said the acquisition will be funded through internally generated funds and bank borrowings, and is expected to be completed within nine months.

Freight Management shares closed unchanged at 65 sen yesterday, for a market capitalisation of RM363 million. The counter, for the past one-year, has rallied 148% from 25 sen.

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