Apex Equity to dispose of Shah Alam land for RM37m cash

Apex Equity to dispose of Shah Alam land for RM37m cash
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KUALA LUMPUR (Dec 28): Apex Equity Holdings Bhd (AEHB) said it intends to dispose of four parcels of freehold land in Shah Alam measuring 23,915.34 square metres for RM37 million cash.

In a filing with Bursa Malaysia, AEHB said its wholly owned subsidiary, Apex Equity Capital Sdn Bhd (AEC) today entered into a sale and purchase agreement with KlangRealty Integrated Sdn Bhd.

AEHB said the proposed disposal is expected to result in a gain of approximately RM4.6 million for the financial year ending Dec 31, 2021.

It said the sales proceeds would be utilised for working capital.

KlangRealty Integrated is an entity registered in Klang, Selangor. The directors of the group are Ong Kwee Lee, Lee Chang Soo, Gan Thiam Kok and On Boon Seng.

Meanwhile, the shareholders are KlangRealty Holdings Sdn Bhd, Koh Sing Yap and Lee Tiek Shien.

"The proposed disposal will allow AEC an opportunity to realise the gain without assuming the risk of completion of the construction and sales of commercial properties under the current weak market sentiments and exit from non-core business assets, which are the pledged properties derived from loan recovery in previous years," said AEHB.

It added that the proposed disposal is expected to be completed within 12 months from the date of the sale and purchase agreement.

At the closing bell today, shares in AEHB dropped one sen to 91.5 sen, bringing a market capitalisation to RM195.41 million.

Kathy Fong