Apex Equity to dispose of Menara Apex for RM55mil

KUALA LUMPUR: Apex Equity Holdings Bhd's wholly-owned subsidiary Apex Development Sdn Bhd is disposing of Menara Apex and the 0.4737ha of freehold land it is situated on in Kajang, Selangor, for RM55mil.

Apex Equity estimates the proposed sale will generate net proceeds of RM49.95mil and a gain on disposal of RM39mil, after deducting taxes and expenses, it said in a stock exchange filing.

"The proposed disposal to private higher education provider New Era Edu Sdn Bhd is on an 'as-is-where-is', 'lock stock and barrel' and willing buyer willing seller basis based on the disposal price, subjected to the property being free from all encumbrances," it added.

Apex Equity said the property has a net book value of RM11.11mil as at Dec 31, 2022.

The 29-year-old property incurred an original investment cost of RM21.33mil, including subsequent renovation costs.

The group said the property, which is underutilised, is currently occupied by three tenants and several telco providers at the rooftop.

The proposed disposal represents an opportunity for the group to unlock and realise the value of the property and fund its working capital, it added.

The transaction is expected to be completed within six months from the signing of the sales and purchase agreement on Nov 15, 2023.