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KUALA LUMPUR: Sunway Holdings Bhd is exploring a development opportunity in Sri Lanka by entering into a memorandum of understanding (MoU) with Dasa Tourist Complex (Private) Ltd on Thursday, June 17.
In a filing to Bursa Malaysia today, the construction firm said the MoU allows the two parties to explore the possibility of forming a joint-venture (JV) company to construct and develop a 34-storey building comprising 71 commercial units and 176 residential units on a piece of land in Colombo city in Sri Lanka.
“The proposed development is located on a plot of prime freehold land in the premium mixed-use zone of Bambalapitiya in District Colombo 4 and has the potential to generate a total sellable area of 400,000 sq ft. The estimated gross development value of the proposed development is approximately USD78 million (RM250 million),” it said.
Dasa Tourist is a company incorporated in Sri Lanka, and its principal activity is textile and garment manufacturing.
With the overseas market being a major source of revenue, Sunway Holdings said the MoU is in line with its strategy of investing in growth economies in industries in which it has a core expertise.
“The MoU will give Sunway the opportunity to explore the feasibility of expanding its property development business in Sri Lanka by developing a parcel of land in an attractive location on terms and conditions that are mutually beneficial to Sunway and Dasa Tourist,” it noted.
