Tanco enters new phase

Christopher: The group has been growing capabilities to strengthen its core business by partnering with industry leaders.

ONE of the oldest listed companies on Bursa Malaysia, Tanco Holdings Bhd seems to be turning over a new leaf. Going by the company’s recent announcements, the once debt-laden property company seems to be back on track to profitability, coupled with a clean balance sheet. It also sits on a valuable landbank and has other advantages that its owners can bring to the company.

First up, is its filing with Bursa Malaysia on Feb 28, that stated it had come to a final settlement with its main creditor Bank Kerjasama Rakyat Malaysia Bhd or Bank Rakyat. Having repaid the bank a figure of RM30.5mil. The filing states that Tanco now has rid itself of RM2.6mil in annual financing costs and more importantly, the situation has enabled the group to “free up multiple assets currently held as security by the bank”.