KUALA LUMPUR: Gamuda Bhd, in a joint venture (JV) with Evia Real Estate (7) Pte Ltd and Maxdin Pte Ltd, will acquire a 12,154.6 sq m piece of leasehold land in Singapore for S$345.86 million (RM968.6 million).

In a filing with Bursa Malaysia yesterday, Gamuda said the Gamuda-Evia-Maxdin JV had on June 23, 2015 obtained the Housing Development Board of Singapore’s nod to acquire the piece of land. The current type of allowable development on the land is condominiums or flats, or with written approval, a combination of flats and strata landed houses.

“The acquisition and proposed Toa Payoh development represent an excellent opportunity for the group to make its maiden presence in Singapore and to participate in a development which is strategically located in a matured residential area,” said Gamuda. “It is also one of Singapore’s choice locations in view of its proximity to MRT lines and stations.

“The proposed Toa Payoh development is expected to contribute positively to the future earnings and thereby improve shareholders’ value over the medium to long term,” it said.

Following the Singapore authority’s approval, a JV company will be formed in which Gamuda, via its wholly-owned subsidiary Gamuda (Singapore) Pte Ltd, will have a 50% stake while Evia and Maxdin will hold 20% and 30% respectively.

This article first appeared in The Edge Financial Daily, on June 26, 2015.