KUALA LUMPUR: ECM Libra Group Bhd
’s wholly owned subsidiary ECML Hotels Sdn Bhd will dispose of two adjoining freehold land parcels in Penang to Wealthpro Holdings Sdn Bhd for RM51.89 million.
ECM said in a Bursa Malaysia filing that the property consists of two adjoining freehold plots with an 11-storey hotel building featuring 258 rooms.
Proceeds from the sale will be used for bank loan repayments, project developments, future business expansions, working capital needs, and estimated taxes and expenses.
The group added that the disposal will not cause ECM Libra to become a cash company or a PN17 company under the Listing Requirements.
ECM Libra said the group is undertaking the disposal as part of its strategy to constantly evaluate its portfolio of investments and, where possible, to seek opportunities to unlock and realise the value of its investments for the benefit of shareholders.
"Based on the disposal consideration and the audited net book value of the property as at Dec 31, 2024 of approximately RM22.9 million, the group is expected to record an estimated one-off pro forma gross gain on disposal of approximately RM29.0 million before deducting estimated taxes and expenses of RM4.3 million,” it said.
Barring any unforeseen circumstances and subject to all requisite approvals being obtained, the disposal is expected to be completed by the first quarter of 2026. - Bernama
