KUALA LUMPUR: KPJ Healthcare Bhd
’s wholly owned subsidiaries entered into two separate conditional sale and purchase agreements to dispose of properties to Al-’Aqar Healthcare Real Estate Investment Trust (Al-’Aqar-REIT) for RM241mil.
The properties are new buildings KPJ Ampang Puteri Specialist Hospital (APSH) and KPJ Penang Specialist Hospital (PSH) owned by Ampang Puteri Specialist Hospital Sdn Bhd and Penang Specialist Hospital Sdn Bhd.
As part of the proposed sale, the subsidiaries will lease back the properties from Al-’Aqar trustee AmanahRaya Trustees Bhd with JLG REIT Managers Sdn Bhd (JLGRM) managing the leases.
KPJ said the cash proceeds will be used to repay bank facilities (RM100,000), working capital (RM139,000) and estimated expenses for the proposed sale and leaseback (RM2,000).
The proposed leasebacks will be 11 years for the APSH and 15 years for PSH, both with a 15-year renewal option.
The properties must be used strictly for healthcare operations in compliance with syariah principles.
KPJ, via its wholly owned subsidiaries, will enter into four separate lease renewal agreements with the trustee and JLGRM involving PSH, Taiping Medical Centre, TMC Health Centre, KPJ Seremban Specialist Hospital (old building), SSH new building, SSH vacant land, KPJ Healthcare University and KPJ International College, Bukit Mertajam.
The lease renewal subsidiaries, trustee and JLGRM signed memoranda of extensions on March 25, 2025 to update terms and lease extensions.
“The proposed sale and leaseback will enable KPJ group to unlock the value of the disposed properties, while the proposed lease renewals will ensure that KPJ group operations will not be disrupted,” it said.
Barring any unforeseen circumstances, the proposals are expected to be completed in the second quarter of 2025. — Bernama
