Ibraco to develop 12 parcels of land in Kuching

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KUALA LUMPUR (Oct 15): Property developer Ibraco Bhd has entered into a memorandum of understanding (MOU) with its 70%-owned subsidiary, Ibraco HGS Sdn Bhd, to jointly develop 12 parcels of mixed-zone land in Kuching, Sarawak.

In a filing with Bursa Malaysia, the company said it owns 11 pieces of land out of the 12 parcels, while one parcel is owned by Ibraco HGS. Ibraco did not disclose the size of the land in its statement to the exchange.

The company said the development will consist of 112 units of three-storey shop houses and four units of educational plots.

“The development lands are contiguous in nature and as such, Ibraco and Ibraco HGS would be able to maximise returns if they were jointly developed. Ibraco have already successfully developed the surrounding areas and are confident that the proposed joint development would be equally as successful,” said the company.

Ibraco said the proposed development will not impact its issued and paid-up share capital, but said the effects on its earnings per share, net assets and gearing cannot be determined, as the details of the joint venture has not been finalised yet.

Ibraco closed 7 sen higher at RM1.67, bringing its market capitalisation to RM211.26 million.