KTI Landmark unit signs MoU with Sabah Rubber to explore 500-acre land development in Tuaran

PETALING JAYA (July 10): KTI Landmark Bhd’s wholly-owned subsidiary K.T.I. Sdn Bhd (KTISB) has entered into a memorandum of understanding (MoU) with Sabah Rubber Industry Board (SRIB) to explore the proposed development of about 500 acres of land in Tuaran, Sabah, into a residential and/or industrial estate.

In a filing with Bursa Malaysia yesterday, KTI said the MoU, signed on July 9, 2026, covers a parcel of land comprising two portions measuring approximately 300 acres and 200 acres in Samat Sawah, in the district of Tuaran. SRIB, a statutory body of the Sabah state government responsible for the development of the rubber plantation sector in the state, is the landowner.

KTI said the MoU sets out preliminary terms for KTISB to conduct feasibility studies relating to the proposed joint development and implementation of the project on the Land. Any collaboration will be subject to a joint venture agreement to be agreed between the parties and approval from the cabinet of the government of the state of Sabah.

The MoU takes effect from July 9, 2026 and will remain in force for 12 months, or for such extended period as the parties may agree in writing, unless terminated earlier or upon execution of a joint venture agreement by the parties. KTI noted that the MoU is not intended to be legally binding and does not create any contractual, financial or monetary obligations for either party, with each bearing its own costs and expenses in relation to the MoU.

KTI said the MoU will not affect its issued share capital, substantial shareholders’ shareholdings, net assets per share or gearing, and is not expected to have any material effect on its earnings for the financial year ending Dec 31, 2026.

The company said the board views the risk factors associated with the MoU as minimal and will exercise due care in considering any future business arrangement arising from the MoU. KTI also added that none of the directors and/or major shareholders of KTI, or persons connected with them, have any direct or indirect interest in the MoU. The board said it is of the opinion that the MoU is in the best interests of the company and its shareholders.

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