Suria Capital Holdinga Bhd (-ve)
SURIA (Fundamental: 2.3/3, Valuation: 3/3) announced a JV with Gabungan AQRS to undertake a mixed development project known as “One Jesselton Waterfront”, on a 7-acre piece of land in Kota Kinabalu Port on Monday.
This project has a proposed minimum net sale value of RM1.1 billion, which will be shared between Suria and AQRS based on a 18:82 ratio. This will give Suria a minimum return of RM198 million, of which RM166.4 million will be in-kind and
RM31.6 million in cash.
“One Jesselton Waterfront” will complement a previously announced project, the “Jesselton Quay”, which is worth RM1.8 billion. The latter is another mixed development under a 18:82 JV between Suria and SBC Corp. Both projects are pending approval.
Incidentally, Suria was featured as InsiderAsia’s Stock of the Day this week. The company holds a 30-year concession to manage major ports in Sabah.
This article first appeared in The Edge Financial Daily, on March 18, 2015.