KUALA LUMPUR (Oct 13): Bertam Alliance Bhd is buying three parcels of factory land in Tuaran, Sabah from Nadi Hasil (M) Sdn Bhd for RM43 million.

In a filing with Bursa Malaysia today, Bertam said its wholly-owned unit Bertam Development Sdn Bhd (BDSB) has entered into a sale and purchase agreement with Nadi Hasil for the proposed acquisition, which is completed by the first quarter of 2015.

The 33.015-acre plot of land also comprises a brick factory and a block of two-storey office.

The purchase price of RM43 million for the land represents a 25% discount to its average market value of RM57.75 million, as appraised by VPC Alliance (Sabah) Sdn Bhd and Jurunilai & Perunding Hartanah Sabah, said Bertam.

“The management of Bertam has intention to either develop the properties into a 2,560-unit of PR1MA apartments project or a 1,982-unit of five-storey walk-up apartments project.

“Presently, the management has not finalised the feasibility study of the proposed projects,” it added.

Bertam said the purchase will be funded by bank borrowings and internal funds.

Bertam shares closed 0.5 sen lower at 85 sen today, bringing its market capitalisation to RM175.74 million.