Inari Amertron to buy Penang land for RM22.8m

Inari Amertron to buy Penang land for RM22.8m
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This article first appeared in The Edge Financial Daily, on February 19, 2016.

 

KUALA LUMPUR: Inari Amertron Bhd plans to acquire a 5.25-acre (2.12ha) piece of leasehold industrial land together with a factory building erected on it in the Bayan Lepas Free Trade Zone, Penang, for RM22.8 million.

In a filing with Bursa Malaysia yesterday, Inari said its wholly-owned subsidiary Inari Technology Sdn Bhd on Monday signed an agreement with Unetsys Sdn Bhd for the proposed acquisition.

The land is located within the vicinity of Inari’s existing factories in Bayan Lepas and will increase the group’s total manufacturing floor space. Inari intends to fund the purchase via a combination of internal funds and bank borrowings.

Part of the land is leased to Tenaga Nasional Bhd for a period of 30 years, expiring on Jan 30, 2022.

Inari said the acquisition will not have any material impact on its share capital, net assets and earnings for the financial year ending June 30, 2016, but is expected to contribute positively to its future earnings.

Inari shares rose nine sen or 2.83% to close at RM3.27 yesterday, giving it a market capitalisation of RM3.1 billion.