KUALA LUMPUR (April 22): Property developer Sunsuria Bhd is buying a 60.81-acre piece of land in Ijok, Selangor for RM74.17 million, as part of its plan to accumulate strategic industrial land for property investment and/or development purposes.
In a bourse filing on Friday (April 22), Sunsuria said its wholly-owned subsidiary Sunsuria Residence Sdn Bhd has entered into a sale and purchase agreement with Superjet Revenue Sdn Bhd for the proposed land acquisition.
Superjet Revenue owns the 99-year leasehold land, whose tenure will expire on Jan 13, 2101. The land is currently agricultural land but zoned for industrial use.
Sunsuria said the purchase consideration will be funded by a combination of bank borrowings and internal funds. "Assuming that 75% of the purchase consideration is financed through bank borrowings, the proposed acquisition will increase the company’s gearing ratio from 0.49 times to 0.54 times."
Barring any unforeseen circumstances, the proposed acquisition is expected to be completed within 12 months.
Sunsuria shares closed unchanged at 40.5 sen on Friday (April 22), bringing it a market capitalisation of RM416.6 million.