KUALA LUMPUR, Aug 23 — Gadang Holdings Bhd’s wholly-owned subsidiary, Gadang Land Sdn Bhd has entered into a sale and purchase agreement with SkyRia Development Sdn Bhd to dispose of a 3.84-hectare residential land in Taman Melawati, Kuala Lumpur for RM43 million in cash.
“The proposed disposal is to strengthen the property division’s cash flow position and reallocate its cash flow to its bigger ongoing development and future development projects in the pipeline, such as projects in Gelang Patah, Semenyih and Cyberjaya.
“It is also in line with the group’s strategy to pare down its existing borrowings to improve its gearing level,” the group said in a filing with Bursa Malaysia today.
Gadang Holdings said proceeds from the exercise would be utilised to repay bank borrowings and as working capital for the group.
It added the proposed disposal would likely be completed by the first quarter of 2022. — Bernama
