KUALA LUMPUR: PTT Synergy Group Bhd plans to sell a freehold industrial property in Bandar Bukit Raja, Klang, for RM17 million to cut costs and improve its financial position.
The property will be disposed of by the company’s indirect wholly owned subsidiary PTT Assets Sdn Bhd to WDG Resources Sdn Bhd under a sale and purchase agreement.
The asset comprises a 4,987-square-metre freehold industrial land with a one-and-a-half-year-old double-storey detached factory offering a gross built-up area of about 20,197 sq ft.
PTT said the disposal consideration was arrived at on a willing-buyer willing-seller basis.
The company expects to record a gain of RM2 million from the transaction, based on the property’s carrying value of RM15 million as at June 30, 2025.
Of the RM17 million proceeds, RM11 million will be used to repay bank borrowings secured against the property, while the remaining RM6 million will be allocated for working capital, including operating expenses, staff costs and settlement of trade payables.
PTT said the disposal forms part of its efforts to rationalise non-core assets, while reducing operational and maintenance costs associated with the property.
The company noted that the proposed disposal is not expected to have a material impact on its earnings, earnings per share, net assets or gearing for the financial year ending June 30, 2027, apart from the one-off disposal gain.
The property, classified for light industrial use, was acquired in December 2022 at an original investment cost of RM11.28 million and currently carries an outstanding bank borrowing of RM11 million, which will be redeemed before completion of the transaction.
Under the agreement, the purchaser will pay a 10 per cent deposit upon signing, with the remaining 90 per cent payable within three months.
A one-month extension may be granted, subject to an interest charge of eight per cent per annum on the outstanding balance.
The proposed disposal is expected to be completed by the first quarter of PTT’s financial year ending June 30, 2027.
Sourced: New Straits Time (10 July 2026)