PTT Synergy's unit acquires eight industrial land parcels for RM60 mln
In a filing with Bursa Malaysia today, the group said the agreements were signed with Koperasi Kakitangan Bank Rakyat Bhd on July 18.
"The proposed acquisition provides an investment opportunity for the group to develop a commercial warehouse.
"This is part of the group's strategy to continuously provide comprehensive solutions for warehousing and distribution centres, with a strong emphasis on total intralogistics solutions," it said.
PTT Synergy said it plans to construct a single-storey industrial building with Automated Storage and Retrieval System Equipment to be subsequently leased/rented to a third party.
The expected development cost for the said project is estimated at RM270 million, commencing July 31 and targeted for completion within 18 months.
"The development will be financed by a combination of internally generated funds and bank borrowings, and the completed facility is expected to fetch an annual rental/lease of RM22.2 million," it said.
PTT Synergy said the proposed acquisition and subsequent development are expected to contribute positively to the group's future revenue and profitability.
The acquisition is expected to be completed within four months from the date of the agreements, subject to the fulfilment of conditions in the sale and purchase agreements.
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