KUALA LUMPUR (Jan 15): Tasco Bhd is disposing of 7.8 acres of industrial land in Port Klang, Selangor to Onostatic Sdn Bhd for RM17.5 million.

The sale is expected to generate a one-off gain of RM5.48 million for the group.

In a filing with Bursa Malaysia today, Tasco said its wholly-owned subsidiary Titian Pelangi Sdn Bhd entered into a sale and purchase agreement with Onostatic last Friday.

The warehouse and office buildings sited on the plot of the land are currently rented by Titian Pelangi to Tasco for its warehousing business.

“After the disposal, we will terminate the tenancy agreement with Titian Pelangi and move its warehousing business elsewhere,” Tasco said.

“The proceeds arising from the disposal are expected to further enhance the liquidity position of the company,” Tasco said, noting that RM16.8 million of the proceeds is expected to be used for working capital within three months.

The price of the warehouse and land was agreed upon on a willing-buyer willing-seller basis after taking into consideration an indicative valuation of RM18.5 million by ITAC International (Kajang) Sdn Bhd, Tasco added.

The disposal is expected to be completed within six months from the date of the agreement.

Shares in the integrated logistics solutions provider closed down one sen at RM2.11 today, giving it a market capitalisation of RM422 million.