Magna Prima acquires PJ land for RM23m

KUALA LUMPUR (Dec 17): Magna Prima Bhd announced today on Bursa Malaysia that it is acquiring 36 subdivided leasehold lots measuring 76,757 sq ft for a total purchase consideration of RM23.03 million.

The group said its wholly-owned subsidiary Crossborder Team (M) Sdn Bhd has entered into a conditional sale and purchase agreement (SPA) with Tropicana Desa Mentari Sdn Bhd to acquire the said land on Dec 17, 2012.

The purchase consideration amounts to RM300 per sq ft, derived on willing buyer, willing seller basis, according to the announcement.

It represents a discount of 3.25% or RM772,900 as Messrs PA International Property Consultants (KL) Sdn Bhd, an independent firm of valuers, assessed the present market value of the land at RM23.8 million.

According to the announcement, Magna Prima intents to develop terraced retail offices on the land. However, the group will determine the most appropriate action by the first half of next financial year, it stated.

"Magna Prima is optimistic on the prospect of the proposed acquisition considering that the property is strategically and conveniently located where it will appeal to prospective buyers with the good accessibility to major highways," the group stated.