Mudajaya Group to dispose of four land parcels in Ijok for RM36.8mil

• The proposed disposal is part of its strategy to monetise non-core assets, unlock value, and strengthen its cash position to meet operational and working capital requirements.

KUALA LUMPUR (Oct 30): Construction and property developer Mudajaya Group Bhd has announced that its wholly owned subsidiary, Mudajaya Corporation Bhd, has entered into a Sale and Purchase Agreement (SPA) with Serba Wangi (KL) Sdn Bhd for the disposal of four parcels of land in Mukim Ijok, Kuala Selangor, Selangor, for a total cash consideration of RM36.8 million.

According to a bourse filing on Thursday, the four parcels, located along Jalan Bukit Badong, collectively cover approximately 7.99 hectares and comprise both freehold agricultural and industrial lands. 

Mudajaya stated that the proposed disposal is part of its strategy to monetise non-core assets, unlock value, and strengthen its cash position to meet operational and working capital requirements. The proceeds, after deducting related expenses, will be channelled towards general working capital and potential investment opportunities aligned with the group’s long-term objectives.

The disposal is expected to generate a gain of approximately RM24.06 million for Mudajaya in the financial year ending Dec 31, 2025. It will not affect the company’s issued share capital or shareholding structure and is not anticipated to have a material impact on its earnings per share, net asset per share, or gearing.

The disposal price was arrived at on a willing-buyer, willing-seller basis after arm’s length negotiations and reflects prevailing market rates. The transaction will be carried out on an as-is, where-is basis, inclusive of buildings on the land but excluding all existing plant and machinery.

Under the SPA, the purchaser has paid a 10% deposit amounting to RM3.68 million, while the remaining 90% will be settled by March 31, 2026. An automatic one-month extension will be granted if required, subject to an 8% annual interest during the extended period.

The group is of the view that barring unforeseen circumstances, the disposal is expected to be completed in the first quarter of 2026.

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