BEDI seeks nod for RM38.87m Sabah acquisitions with RM1.13b remaining GDV

PETALING JAYA (Sept 11): BEDI Bhd is seeking shareholders’ approval to acquire two Sabah property developers from a related party for a combined RM38.87 million, adding projects with about RM1.13 billion in remaining unbilled and unsold gross development value (GDV) to its pipeline.

In a Bursa Malaysia filing, circular to its shareholders on Friday (Sept 11), BEDI said it proposes to acquire the entire equity interests in Sejati Sentral (Sandakan) Sdn Bhd and FYT Land (KK) Sdn Bhd from BEDI Development Sdn Bhd for RM17 million and RM21.87 million respectively.

The proposed acquisitions are related-party transactions under Bursa Malaysia’s listing requirements due to the interests of certain directors and major shareholders.

Independent adviser MainStreet Advisers Sdn Bhd said the acquisitions are fair and reasonable and not detrimental to BEDI’s non-interested shareholders. It recommended that they vote in favour of the resolutions at an extraordinary general meeting on Sept 28.

According to MainStreet, the projects held by the two target companies had aggregate remaining unbilled and unsold GDV of about RM1.13 billion as at March 31, 2026, with estimated aggregate gross development profit of RM146.94 million.

Sandakan commercial development

Sejati Sentral is undertaking a four-phase commercial development on 16.85 acres along Jalan Airport, Sandakan.

The project is planned to comprise 141 two-storey terraced shop offices, six two-storey linked shops, a drive-through food and beverage outlet and a five-storey boutique hotel.

As at Aug 21, 73.12% of units launched under the first two phases had been sold. Phase 1 is expected to be completed in the first quarter of 2027, followed by Phase 2 in the fourth quarter of 2027, Phase 3 in the first quarter of 2028 and Phase 4 in the second quarter of 2028.

RM1b Kota Kinabalu project

FYT Land is developing Bayu Damai Residences and Luna Damai Residences in the Dah Yeh Villa locality along Jalan Fung Yei Ting, Kota Kinabalu.

Bayu Damai comprises 762 apartments and had achieved sales of 80.45% as at Aug 21. Construction was 17.46% complete as at March 31.

The circular said Bayu Damai has experienced a delay from its original construction schedule, although BEDI’s management told MainStreet that the delay is manageable and that the project can still be completed within its stipulated timeline in the fourth quarter of 2028.

Luna Damai is expected to comprise 743 apartments and four retail units. It is slated for launch in the second quarter of 2027 and targeted for completion in the fourth quarter of 2031.

Independent valuer Knight Frank Malaysia Sdn Bhd valued the Sejati project at RM45.1 million and the FYT projects at RM130.7 million as at March 31, 2026.

After accounting for deferred tax on the revaluation surpluses, the final revalued net asset value (RNAV) of Sejati Sentral was RM17 million, while FYT Land’s was RM21.87 million, equivalent to their respective purchase considerations.

On a pro forma basis, the acquisitions would raise BEDI’s gearing to 1.25 times from 0.69 times as at March 31, mainly due to the consolidation of about RM110.74 million in borrowings of the two target companies.

BEDI’s net assets would decline marginally to RM197.83 million from RM199.03 million, while net assets per share would remain unchanged at 23 sen.

The acquisitions are expected to be completed in the fourth quarter of 2026, subject to shareholders’ approval and the fulfilment of other conditions precedent.

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