KUALA LUMPUR (March 7): ACE Market-listed property firm Teladan Setia Group Bhd is acquiring freehold land in Negeri Sembilan for RM24.12 million in cash.

The land, measuring 70,020 sq m, is planned for mixed development, said Teladan Setia in a bourse filing on March 7 (Tuesday).

“This proposed acquisition is in line with our strategy of replenishing our land bank at locations with strong growth potential and to scale up our property development activities to generate long-term sustainable income,” it added.

The purchase price is expected to be financed through a combination of bank borrowings and the company’s internally-generated funds.

According to Teladan Setia, its wholly-owned subsidiary Pavilion Link Sdn Bhd had on March 7 entered into a sale and purchase agreement with the vendor Complete Achievement Sdn Bhd (CASB) for the land acquisition.

The principal activity of Melaka-based Pavilion Link is mainly in property development and housing development for residential and commercial projects.

Meanwhile, the Seremban-based CASB — jointly-owned by Koh Say Kok, Koh Say Wee, Yong Kum Hoe and Ab Rasid Ahmad — is principally involved in investment holding and wholesale of a variety of goods.

The proposed acquisition of land, which is not subject to shareholders’ approval, is expected to be completed by the third quarter of 2023.

Shares in Teladan ended one sen or 0.85% lower at RM1.16, giving the property developer a market capitalisation of RM937.68 million.