Careplus to buy hotel and shoplot for RM3.8mil

  • Corporate News
  • Thursday, 23 Jul 2020

PETALING JAYA: Glove maker Careplus Group Bhd has proposed to acquire a hotel and shoplot that would be converted into a hostel for the company’s workers.

The total acquisition price for these properties, which are parked under Centro Heights Sdn. Bhd, is RM3.8mil of which 90% would be borne by Careplus, the company said in a filing with Bursa Malaysia.

The 90% costs RM3.42mil while the remaining 10% worth RM380,000 will be taken up by Tang Kin San.

It will be bought from the vendors Chang Keng Chiang (98.95%), Chang Sze Wei (0.66%) and Chang Kai Ping (0.39%).

Careplus said it had also entered into a commitment and option agreement with Tang whereby upon the successful completion of this acquisition, Tang himself would spearhead the management of Centro.

“Careplus has agreed to grant an option for Tang to purchase from Careplus an aggregate of up to 760,000 shares in Centro which represents up to 20% of the issued share capital of Centro, ” it said.

“In the event the call option is fully exercised by Tang, the equity interest by Careplus in Centro will become 70%, ” it added.

The said hotel and shoplots are located at Pusat Bandar Baru Senawang, Seremban, Negri Sembilan.

“Presently, the workers’ hostels of Careplus are located in several rented premises. This is part of our plan to consolidate the workers’ hostels into a central location to enable an efficient management and ease of administrative purposes, ” the company said.

Careplus also said that the call option offered to Tang enabled the company to secure Tang’s engagement for the management of Centro for at least five years and utilise his expertise in managing hostels.

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Careplus , glove maker , hostel , workers , Centro ,


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