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- The apartment, located on the 60th floor of the Burj Khalifa, has a built-up area of 1,887.99 sq ft, according to DXN's latest bourse filing.
KUALA LUMPUR (Sept 4): DXN Holdings Bhd (KL:DXN), a multi-level marketing company specialising in health and wellness products, is buying an apartment in Dubai's iconic Burj Khalifa for 6.4 million dhirhams (RM7.37 million), cash. The seller is the company's executive chairman and major shareholder, Datuk Lim Siow Jin.
The apartment, located on the 60th floor of the Burj Khalifa, has a built-up area of 1,887.99 sq ft, according to DXN's latest bourse filing. The acquisition, which includes two parking bays, comes less than a year after DNX announced plans last November to charter a Gulfstream G550 corporate jet from a company linked to Lim for up to US$6.6 million (RM27.89 million) a year.
DXN said its wholly owned Daxen Middle East Food Manufacturing LLC has entered into a sale and purchase agreement with Lim and Datin Wan Illiyyin Wan Mohd Nazi for the acquisition, which DXN plans to pay for with internal funds. It also said the purchase won't impact its balance sheet or dividend payout.
The deal is considered a related party transaction under listing rules as both Lim and Wan Illiyyin are substantial shareholders of DXN. Lim holds a 58.36% stake in DXN, including shares held under his wife Datin Leong Bee Ling and LSJ Global Sdn Bhd, a private company in which the couple are substantial shareholders.
The apartment is planned to be used for leadership training, "influencer-led" content creation, and VIP events, with the company also exploring potential rental income opportunities.
The property will be integrated into its incentive and lifestyle programmes, DXN said, similar to its use of Boulder Valley Glamping in Penang and DXN Cyberville in Cyberjaya as retreat and activity centres for its global members. The company believes "the Burj Khalifa’s status as a global luxury landmark offers a unique and aspirational experience that aligns with DXN’s branding and international outlook".
DXN also said Dubai is an increasingly significant hub for the group, which has a manufacturing plant established there in 2023. The Middle East contributed over 10% of the company's revenue in fiscal year 2025.
The corporate jet leased to DNX by a company linked to Lim was also a related party transaction and funded entirely from internal funds. The jet is owned by LSJ Logistics Ltd, a wholly owned unit of LSJ Global, which is controlled by Lim.
The cost of the 12-month charter, which was estimated at 11% of its FY2024 net profit, had raised concerns among some shareholders about the company's spending priorities. DXN defended the arrangement, stating the jet was crucial for its global expansion, given that 11 of its 13 manufacturing facilities are located outside of Malaysia, while Latin America accounted for nearly 58% of its FY2024 sales. The company claimed the jet would provide "flexibility and efficiency for its leadership team and top distributors when travelling to international markets, particularly in Latin America".
In July, DXN reported a 13.6% year-on-year drop in its first-quarter net profit to RM73.91 million from RM85.56 million, which it blamed on foreign exchange losses due to a stronger ringgit. Revenue for the first quarter ended May 31, 2025 (1QFY2026) saw a marginal increase to RM479.1 million from RM475.1 million in 1QFY2025. The company maintained a dividend of 0.9 sen per share, consistent with the previous year.
Despite facing macroeconomic challenges, including currency volatility, regional instability, and supply chain risks, the group said it is pressing ahead with its expansion plans, which include new facilities in Peru and Morocco, alongside a domestic hub in Kelantan.
DXN shares closed half a sen or 0.99% lower at 50 sen on Thursday, giving the company a market capitalisation of RM2.49 billion.
As Penang girds itself towards the last lap of its Penang2030 vision, check out how the residential segment is keeping pace in EdgeProp’s special report: PENANG Investing Towards 2030.
