KUALA LUMPUR, July 9 (Bernama) -- Pensonic Holdings Bhd is selling the group's land in Petaling Jaya measuring about an acre, together with the buildings erected on it, for RM19.5 million.
Wholly-owned subsidiary Pensonic Sales & Service Sdn Bhd, today inked an agreement to sell the property, which includes a four-storey office building with a three-storey annex comprising of warehouse and an office, to Chua Trading Company Sdn Bhd, it said in a filing with Bursa Malaysia.
The proposed disposal is part of the its asset rationalisation exercise to realise the increase in the value of its landed assets and improve the overall financial position, the electrical home appliance company said.
“It will help to reduce the group's overall borrowings, as RM10 million would be utilised to repay borrowings from HSBC Bank Malaysia,” it said.
Following the disposal, Pensonic Sales & Service's operations will be consolidated and relocated to smaller premises at a lower operational cost while awaiting the completion of the warehouse cum office in Klang.
Pensonic posted an after-tax loss of RM3.3 million in the financial year ended May 31, 2018, arising from a provision for income tax of RM6.8 million in relation to revisions made to the tax holidays enjoyed by certain subsidiaries in previous years.
It continued to be in the red in the first nine months of the current financial year with a loss attributable to shareholders of RM758,000.