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- The properties, located in Jarak Atas within the Seberang Perai Utara district, span a total of 199.5 acres (807,157.86 sq m) and are currently vacant.
PETALING JAYA (May 5): PLB Engineering Bhd’s wholly-owned subsidiary, PLB Land Sdn Bhd, is selling several land parcels in Tasik Gelugor, Penang for RM48 million, which is RM12.8 million below its valuation price.
PLB Land acquired the land in 2013 for RM25.48 million. As of August 2024, the net book value stood at RM30.38 million, while independent valuer Henry Butcher Malaysia estimated the market value at RM60.8 million.
The sale was decided upon after several failed negotiations with other parties over the past few years. The current buyer, Telaga Raya Sdn Bhd, is a company wholly owned by Lechumenan Elangowan.
The properties, located in Jarak Atas within the Seberang Perai Utara district, span a total of 199.5 acres (807,157.86 sq m) and are currently vacant. The five freehold parcels vary from 3.83 acres to over 1.98 acres.
The disposal aligns with PLB’s strategy to monetise its landbank and improve its financial position by repaying bank borrowings, lowering its gearing ratio, and boosting cash flow through reduced interest expenses.
PLB expects to record a net gain of around RM12.88 million from the sale.
The transaction, which will be settled entirely in cash, is expected to be completed by this year- end, subject to approvals.
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