ASM Automation provides further details on proposed Perak industrial land acquisition

KUALA LUMPUR (July 3): ASM Automation Group Bhd has provided additional details on its proposed acquisition of leasehold land together with a single-storey detached factory in Mukim Hulu Kinta, Perak.

In an earlier Bursa Malaysia filing, ASM said its wholly-owned subsidiary, Arrow Systems Sdn Bhd, is acquiring the property under a non-related party transaction.

The latest Bursa filing yesterday (July 2) said the existing factory building on the property is approximately 32 years old and has a built-up area of about 1,093.93 sq m (11,774.96 sq ft).

The property is located at Persiaran Perindustrian Pengkalan 17 in Kawasan Perindustrian Pengkalan, Lahat, an established industrial area within the Kinta district near Ipoh.

ASM said the building is currently used by the vendors for the manufacture of wooden products, which is unrelated to the group’s principal business activities.

The proposed acquisition is primarily undertaken to acquire the land, with the existing building intended to be demolished to facilitate construction of a new factory.

The company said the total development cost of the new factory has yet to be finalised and will depend on final design specifications and prevailing construction costs.

Construction of the new factory will be funded using IPO proceeds raised from ASM’s ACE Market listing on July 2, 2025, of which RM7.9 million has been earmarked for the project.

Subject to completion of the proposed acquisition by the first quarter of 2027 and obtaining relevant local authority approvals by the third quarter of 2027, construction is expected to commence in the third quarter of 2027, with completion targeted by the second quarter of 2029.

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