KUALA LUMPUR, March 8 (Bernama) -- DRB-HICOM Bhd is disposing of a large portion of its non-industrial property assets and its entire hospitality portfolio in a deal worth RM1.9 billion, as it moves to take advantage of its experience in the development industrial properties.
In a filing to Bursa Malaysia today, DRB-HICOM said, it will dispose of several subsidiaries owning some 890.30 hectares (ha), as well as its entire equities in Horsedale Development Bhd and Rebak Island Marina Bhd to Prisma Dimensi Sdn Bhd (PDSB).
"The deal is estimated to be worth RM1.9 billion and will be satisfied via a cache of landbank in Johor totalling 503.20 ha belonging to PDSB and Kelana Ventures Sdn Bhd (KVSB), and the balance through a cash payment of RM289 million," it said.
A net gain on disposal of about RM849.4 million is expected from the disposals, it said.
"The disposals are in line with the change in the group's strategic direction where the property division will focus on the development and sale of industrial properties," it said.....