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- Ann Joo said developing its land into an industrial park makes it more attractive and valuable than selling it directly.
KUALA LUMPUR (Dec 16): Ann Joo Resources Bhd (KL:ANNJOO) has entered into two joint venture agreements (JVAs) with Transyear Sdn Bhd to jointly develop the Gurun Heavy Industrial Park in Kedah, with an estimated gross development value (GDV) of over RM203 million.
In a bourse filing on Monday, Ann Joo said the 207-acre parcel will be developed in two phases. The estimated total cost attributable to Ann Joo’s indirect subsidiary Gurun Heavy Industrial Park Sdn Bhd (GHIP), including land, amounts to RM82.2 million.
The JVAs were executed through Gurun Heavy Industrial Park Sdn Bhd, a 99.97%-owned unit held via Ann Joo’s wholly-owned subsidiaries Konsortia Etiqa Sdn Bhd and Ann Joo Management Services Sdn Bhd. The remaining 0.03% stake is held by Maju Holdings Sdn Bhd.
Transyear, the counterparty, is an established property developer in the northern region. Its shareholders comprise Oriental Max Sdn Bhd (40%), Ch’ng Dickeon (20% and who also serves as a director), Ch’ng Dickson (20%) and Laurel Venture Capital Sdn Bhd (20%).
Ann Joo said the collaboration will see the land developed into an industrial park, enhancing the marketability of the development land and achieving higher disposal value compared with a direct land sale.
Ann Joo said developing its land into an industrial park makes it more attractive and valuable than selling it directly. The JVAs allow GHIP to leverage Transyear’s technical expertise, project management capabilities, and market network, while limiting development risks and capital deployment.
Funding for GHIP’s attributable costs will be met through internally-generated funds and/or borrowings.
Future proceeds from the development will be channelled towards future capital expenditure, investments and working capital.
Ann Joo recorded its largest-ever net loss of RM288.86 million for the financial year ended Dec 31, 2024 (FY2024) on revenue of RM2.52 billion. For the third quarter ended Sept 30, 2025 (3QFY2025), its net loss narrowed to RM52.71 million from RM74.65 million a year earlier, despite a 13.2% drop in quarterly revenue to RM591.83 million.
For the first nine months of 2025, losses widened to RM185.6 million from RM134.52 million, with revenue down 13.4% to RM1.66 billion.
As of September, Ann Joo had RM111.82 million in cash, against RM1.19 billion in short-term and RM173.82 million in long-term borrowings.
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