CIMB Bank To Purchase 16 Properties From EPF For RM210 Mln

KUALA LUMPUR, May 2 (Bernama) -- CIMB Group Holdings Bhd’s wholly-owned subsidiary CIMB Bank Bhd will purchase 16 properties from the Employees Provident Fund (EPF) for a total cash consideration of RM209.81 million. 

In a Bursa Malaysia filing today, CIMB Group said CIMB Bank has been leasing 24 properties from EPF under a lease agreement dated Dec 30, 2009, and would expire on June 30, 2025.

“On April 30, 2025, CIMB Bank entered into 16 sale and purchase agreements to acquire 16 of these 24 properties from EPF (SPAs), which are presently utilised by CIMB Bank for its banking business.

“With this, CIMB Bank terminated the lease agreement with EPF,” it said.

CIMB Group said the transaction supports CIMB Bank's strategy and achieves a favourable profit and loss uplift in 2025.

Apart from the transaction, it said CIMB Bank has also undertaken to repurchase the remaining eight properties at a pre-determined price based on the valuation provided by an independent valuer in the event EPF is unable to dispose of these eight properties to third parties.

“The obligation to repurchase the unsold properties by CIMB Bank is consistent with the terms of the lease agreement,” it added. 

Barring any unforeseen circumstances, the transaction is expected to be completed between the fourth quarter of 2025 and the first quarter of 2026.

-- BERNAMA