LSH Capital accepts RAC offer for 17.4-acre Selangor land development

PETALING JAYA (May 28): Lim Seong Hai Capital Bhd (LSH Capital) has accepted a letter of offer from Perbadanan Aset Keretapi (RAC) for the proposed development of two land parcels in Selangor measuring a combined 17.4 acres. 

In a Bursa filing today, the group said the offer, dated May 26, 2026, covers two parcels of land in Daerah Petaling, Mukim Pekan Country Heights, Selangor Darul Ehsan, which are owned by RAC. LSH Capital had earlier on May 15, 2026, announced its intention to undertake the proposed development, subject to final terms to be agreed between both parties. 

The group said a further announcement will be made to Bursa Malaysia Securities Bhd upon finalisation and execution of the definitive agreement, or when there are material developments relating to the project. 

In a separate Bursa filing on May 23, LSH Capital reported that its property development and construction activities continued to underpin performance, even as net profit fell 13.8% year-on-year to RM18.6 million for the quarter ended March 31, 2026. Revenue eased 6.7% to RM99.45 million, mainly due to lower property revenue recognition as its flagship LSH Segar project nears completion at about 99% progress. 

However, stronger contributions from the construction and facilities management divisions helped cushion the softer property segment. Higher tax expenses, which rose to RM10.64 million from RM5.45 million a year earlier, also weighed on earnings. 

The group attributed this to differences in profit recognition within its structure, where a larger share of construction activity at subsidiary level resulted in higher taxable profits despite consolidation adjustments. 

Despite the softer quarter, LSH Capital continued to expand its development pipeline and declared an interim dividend of 0.75 sen per share, slightly lower year-on-year. Cumulative year-to-date dividends improved to 1.78 sen from 1.45 sen previously, with entitlement on June 11 and payment on June 24. 

New and ongoing projects include the LSH Bund development in Jalan Pahang with a gross development value (GDV) of RM500 million, alongside other initiatives that continue to strengthen its construction and property pipeline. 

Looking ahead, the group’s RM1.24 billion outstanding construction order book and RM1.68 billion property GDV pipeline are expected to provide earnings visibility through the financial year ending September 2029. 

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