THE MALAYSIAN RESERVE. 11TH JULY: Scientex Bhd’s subsidiary, Scientex Lestari Sdn Bhd, has entered into a conditional sales and purchase agreement with Seriemas Development Sdn Bhd for the proposed acquisition of six parcels of freehold land in Mukim Senai, Johor.
The acquisition, valued at RM299.84 million, aims to develop the 550.67-acre land into a mixed-property development consisting of approximately 7,000 affordable houses.
Funding for the acquisition will be sourced through a combination of internally generated funds and bank borrowings, it told the stock exchange today.
The completion of the proposed acquisition is expected in the first half of 2024.
The rationale behind the purchase is to expand Scientex’s landbank at a reasonable cost and leverage the proximity between existing developments and the newly acquired lands to enhance operational efficiencies and economies of scale.
The move aligns with Scientex’s objective of constructing 50,000 affordable homes nationwide by 2028.
The lands are expected to provide a sustainable property development model, supporting Scientex’s focus on affordably priced landed properties with consistent demand.
The company anticipates no significant impact on its earnings, net assets, and gearing for the financial years ending July 31, 2023, and July 31, 2024.