KUALA LUMPUR (Aug 8): KSL Holdings Bhd said it is buying 84 acres of land in Johor Bahru from Tropicana Corp Bhd for RM109.89 million.
The land in Pulai will be used for landed property development, KSL said, noting that the purchase will enhance the group's presence in the property market in Johor.
“The proposed acquisition enlarges the current land bank of the group and is anticipated to contribute positively to the future earnings of the group,” the property developer said in a Bursa Malaysia filing.
KSL’s wholly owned subsidiary KSL Development Sdn Bhd is buying the land from Tropicana’s wholly owned unit Tropicana Desa Mentari Sdn Bhd.
KSL said the purchase consideration was arrived at on a “willing seller-willing buyer” basis after taking into consideration the market value of RM120.87 million, as appraised by a registered valuer.
The acquisition is expected to be completed in the second quarter of 2023, the group said.
KSL’s share price closed one one sen or 1.27% higher at 79.5 sen on Monday (Aug 8), giving the group a market capitalisation of RM819.6 million. The stock has risen 20.45% year-to-date from 66 sen.