KUALA LUMPUR (Dec 12):  Eco World Development Group Bhd shareholders had approved the company's real estate asset acquistions from major shareholders today.
 
Eco World shareholders had at its extraordinary general meeting (EGM) here, approved proposals including the acquisition of development rights from Eco World Development Sdn Bhd (EWD) for RM3.79 billion; and a renounceable rights issue of new Eco World shares, with new free detachable warrants.

Eco World is targeting to raise RM788 million from the rights issue.

"After the approval for development rights, we will carry out the share split, rights and warrants.

"It will take us probably until the second quarter next year [2015], to complete all of these," Eco World president and CEO Datuk Chang Khim Wah told reporters, after the EGM.

According to Eco World's website, the developer will have a total of 1,970 ha (4,925.7 acres) of land across the Klang Valley, Johor and Penang, upon completion of the acquisitions.

The tracts will have a potential GDV of RM47.03 billion.

Chang indicated the figures included an additional 1,242 ha (3,106 acres) of land with an estimated gross development value (GDV) of RM30 billion, upon completion of asset acquisitions.

He said the additional land would be derived from EWD's development rights to eight projects in the Klang Valley, Iskandar Malaysia (Johor) and Penang.

Eco World shares rose five sen or 1.3% at 12.30pm, to settle at RM4.03, for a market value of RM1.02 billion.

The stock had gained 6% this year, outperforming the FBM KLCI's 7% decline.