Global Oriental unit buys land near Genting Highlands for RM170.7mil

PETALING JAYA: Global Oriental Bhd’s 51%-owned subsidiary Sering Manis Sdn Bhd is buying 279.86 acres of land located just 11km from the peak of Genting Highlands for RM170.7mil.

In a filing with Bursa Malaysia, the company said the land, which is in Mukim Bentong in Pahang, would be used for development of resort that would include residential and commercial components.

“The land is surrounded by lush greenery and its close proximity to Genting Highlands would present potential for resort-like residential and commercial development.

“In view of the strategic location and good development potential of the land, the proposed acquisition is expected to contribute positively to future earnings of Global Oriental group,” it said.

Global Oriental said Sering Manis had entered into a conditional sale and purchase agreement with Panji Selera Sdn Bhd for the proposed acquisition of the freehold land.

It said the purchase price of RM170.67mil is based on the selling price of RM14 per sq ft.

To finance the acquisition, Global Oriental said it would tap into bank borrowings and internally generated funds.

This would increase its gearing up to 0.85 times from 0.58 times as at March 31, 2015.