SP Setia said the land sale will help the group achieve capital efficiency.

PETALING JAYA: SP Setia Bhd has entered into a sale and purchase agreement (SPA) with Dsara Sentral Sdn Bhd, a wholly-owned subsidiary of Mah Sing Group Bhd (Mah Sing) to dispose a 5.99-acre freehold, commercial parcel in Taman Pelangi, Johor Bahru for RM156.8mil.

The sale was achieved by competitive tender process through subsidiary Pelangi Sdn Bhd. It is expected to contribute positively to Setia’s profits via repayment of borrowings, working capital utilisation and investments into strategic projects. 

SP Setia still has 1,123.8 acres of undeveloped land in the Southern region, where the group’s focus will be in industrial estate and township development for the next 10 years.  

Stay ahead of the crowd and enjoy fresh insights on real estate, property development and lifestyle trends when you subscribe to our newsletter and follow us on social media.