KUALA LUMPUR: WCT Holdings Bhd’s unit Jubilant Courtyard Sdn Bhd, which owns 608.63 acres in Serendah, Selangor, is teaming up with UEM Sunrise Bhd to undertake a property project with an estimated gross development value of RM3bil.
WCT said on Tuesday that UEM Sunrise would subscribe for one million new RM1 shares in Jubilant Courtyard -- representing 50% of the enlarged paid-up share capital -- for RM214.88mil.
Under the corporate exercise, Sunrise’s subscription will reduce WCT’s stake in Jubilant Court from 100% to 50%.
“The proposed dilution is being undertaken to enable UEM Sunrise to invest in Jubilant Court and to jointly develop the lands with WCT,” it said.
WCT and UEM Sunrise intend to undertake a mixed development project on the land with GDV of about RM3bil.
WCT said the cash to be received from UEM Sunrise’s subscription would be used as development cost of the land, working capital and repayment of advances from WCT Group.
