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PETALING JAYA (July 23): MyNews Holdings Bhd plans to acquire a 13.5-acre industrial land parcel in Bandar Serendah, Selangor, for RM24.7 million in cash for the planned construction of a new distribution centre.
It said in a Bursa Malaysia filing on Wednesday (July 22) that its wholly owned subsidiary, MyNews Retail Sdn Bhd, had entered into a sale and purchase agreement with Thung Hing Metal Industry Sdn Bhd to acquire the 5.464-hectare leasehold plot, according to a Bursa Malaysia filing on Wednesday.
The vacant industrial land is located in Bandar Serendah, Ulu Selangor, and bears a postal address in Rawang. It has a remaining lease tenure of about 69 years, with the 99-year lease expiring on Jan 4, 2095. The filing states the title reference as Pajakan Negeri 344130, Lot 42609 Seksyen 20, Bandar Serendah, Daerah Ulu Selangor, Negeri Selangor.
The purchase consideration will be funded through 15% internal funds and the balance via bank borrowings.
MyNews said the acquisition is intended to support its long-term expansion plans, as its existing distribution centre is operating at constrained capacity. The new facility is expected to improve supply-chain efficiency, strengthen the group's asset base and support future business expansion.
No valuation was conducted as the transaction falls below the threshold requiring one under Paragraph 10.04(1) of Bursa Malaysia's Main Market Listing Requirements. The company said a valuer will be appointed subsequently for governance and banking purposes.
The proposed acquisition does not require shareholders' approval as the highest applicable percentage ratio is 9.8%, below the 25% threshold under the listing requirements. However, it remains subject to state authority consent due to the restriction in interest on the land title.
Barring unforeseen circumstances, the proposed acquisition is expected to be completed within 12 months from the date of the SPA.
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