Handal Energy inks JV agreement to develop land in Perak

• The group said its 99.88%-owned unit Handal Energy Solutions Sdn Bhd (HESSB) has inked a joint venture (JV) agreement with DS Agriculture to collaborate on developing land into a tourism attraction through agro-tourism initiatives in Perak.

KUALA LUMPUR (Feb 2): Offshore crane services provider Handal Energy Bhd said on Friday that it is seeking further business investment opportunities in the agriculture industry.

The group said its 99.88%-owned unit Handal Energy Solutions Sdn Bhd (HESSB) has inked a joint venture (JV) agreement with DS Agriculture to collaborate on developing land into a tourism attraction through agro-tourism initiatives in Perak.

The joint venture will be structured as a 51:49 partnership between HESSB, and DS Agriculture — a Klang-based company principally engaged in growing and trading fruits and vegetables, Handal said in a stock exchange filing.

DS Agriculture has been appointed as the authorised contractor responsible for managing and developing the three plots of land in Perak, with a total size of 147.2 hectares.

Handal said HESSB will pay DS Agriculture RM4.5 million as development cost for the project.

Handal posted a net profit of RM4.8 million for the nine months ended Sept 30, 2023, on a revenue of RM19.17 million.

As at end-September 2023, Handal had RM9 million short-term borrowings against cash and cash equivalents of RM7.97 million.

Shares of Handal closed down half a sen or 5.26% at nine sen on Friday, giving the group a market capitalisation of RM28.74 million.

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