Crest Group acquires industrial property in Puchong to house new HQ

• Crest said it is buying the property from Oasis Harvest Corp Bhd (KL:OASIS), formerly known as Dolphin International Bhd.

KUALA LUMPUR (Dec 16): Imaging company Crest Group Bhd (KL:CREST), which was listed on the ACE Market two months ago, said it is acquiring an industrial property in Puchong, Selangor for RM16.5 million to establish its new headquarters.

In a filing with Bursa Malaysia on Monday, Crest said it is buying the property from Oasis Harvest Corp Bhd (KL:OASIS), formerly known as Dolphin International Bhd.

The property, comprising a three-storey detached factory and a three-storey office annex, sits on a land measuring 2,463 sq m. Crest said it plans to use the facility as its new headquarters to consolidate operations in the central region.

The company said the purchase price was agreed upon on a "willing-buyer-willing-seller" basis and will be funded through a combination of proceeds from its initial public offering (IPO) and internally generated funds.

However, according to Oasis Harvest’s filing, the RM16.5 million sale price is below the property’s net book value of RM20.05 million as of June 30, 2024. The divestment is expected to result in a net pro forma loss of RM3.85 million.

Oasis Harvest, which is loss-making, plans to use the proceeds from the disposal to repay bank borrowings, fund outlet marketing and events, and support working capital needs.

The deal is expected to be completed in the second quarter of 2025.

Shares of Crest Group rose half a sen or 1.8% to close at 29 sen on Monday, giving it a market capitalisation of RM251 million. However, the stock is six sen or 17% lower than its IPO price of 35 sen.

Oasis Harvest shares remained unchanged at 13.5 sen, valuing the company at RM19.9 million.

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