NCT Smart Industrial Park (NSIP) in Sepang, Selangor.
PETALING JAYA: NCT Alliance Bhd
’s potential gross development value (GDV) is set to nearly double to RM10bil with the injection of two industrial parks – a move that executive chairman and group managing director Datuk Seri Yap Ngan Choy says will place the group on a stronger footing for long-term growth.
The group is acquiring NCT World Sdn Bhd, which adds two industrial parks – NCT Smart Industrial Park (NSIP) in Sepang, Selangor, and NCT Innosphere (NIS) in Bukit Kayu Hitam, Kedah – to its portfolio.
The injection will nearly double NCT Alliance’s total potential GDV to about RM10bil from RM5.36bil and enlarge its landbank from 495 acres to 1,350 acres.
Ngan Choy said the acquisition will strengthen NCT Alliance’s position as a diversified property developer beyond its residential and commercial base.
“NCT Alliance’s journey has always been defined by resilience and agility. Since taking the helm in 2019, we have grown the company through earnings-accretive acquisitions into a stronger, more diversified player,” Ngan Choy told StarBiz in an email interview.
Last month, NCT Alliance filed with the local bourse its RM490.2mil plan to acquire NCT World, a company controlled by Ngan Choy and his brother Datuk Yap Fook Choy, who also serves as an executive director of the group.
Ngan Choy stated that NSIP and NIS together carry a remaining GDV of about RM4.8bil over the next five years.
He said both NSIP and NIS are positioned as “integrated, managed smart industrial parks” that will allow NCT Alliance to build a recurring income portfolio.
“A good example is NSIP’s centralised labour quarter (CLQ), which can house up to 10,000 workers and generate steady rental income for the group. Complementing this is our upcoming CLQ in Batu Kawan, expected to begin operations by early next year with a capacity of 5,400 workers.”
Ngan Choy said NSIP is the group’s immediate priority. Launched in 2023, NSIP is planned over five phases with a total GDV of around RM7.9bil.
Phase one, with an estimated GDV of RM2.5bil, is nearly sold out and close to completion, while phase two, also with approximately RM2.5bil in GDV, has already been launched and is seeing strong demand.
Ngan Choy said phase three, which carries an estimated GDV of RM2.6bil, is expected to obtain planning approval by the third quarter of 2025, with further details to be announced in due course.
He added that phases four and five, earmarked for a petrol station and commercial shop lots, are pending approval and have a combined GDV of about RM250mil.
Ngan Choy said NSIP has already gained strong investor confidence through the group’s Invest NCT programme, which recently secured an international partner, Intrinsic Venture Capital of Canada.
He noted that Intrinsic has committed RM615mil to support high-growth industries at NSIP under a venture initiative led by Intrinsic SEA.
According to him, the initiative aims to catalyse and scale high-tech, high-growth industries across the region, with investments deployed on a deal-by-deal or co-investment basis to ensure alignment with targeted sectors.
Intrinsic will participate by funding between 20% and 80% of projects, while NSIP may co-invest through industrial factory or land value contributions, creating what Ngan Choy described as a “balanced and synergistic partnership structure.”
Meanwhile, NIS, which carries a GDV of RM1bil, is targeted for launch this month, with construction works to commence thereafter. The project is undertaken in partnership with the Northern Gateway Group of Companies – a wholly-owned subsidiary of the Minister of Finance Inc.
While expanding into the industrial segment, Ngan Choy stressed that the group remains committed to its core property development business.
“We will be making our mark in Sabah and Sarawak through Ion Marina Bay in Putatan, Sabah, a 250-acre mixed development with a GDV of RM3.4bil, integrating commercial components with residential offerings,” he said.
Another key launch, he added, is Ion Borneo Garden in Penampang, Sabah – an 11.2-acre project with a GDV of RM175.5mil catering to demand for “well-planned” landed homes.
Ngan Choy said that with the enlarged landbank of 1,350 acres, this “gives us flexibility to phase developments in line with market demand”, while the group’s low gearing and strong balance sheet provide resilience to fund ongoing projects and pursue new opportunities.
“With these strategies in motion, we are well-positioned to accelerate NCT’s evolution into a well-diversified, all-rounded new-economy industry group,” he noted.
NCT Alliance traces its roots to Grand-Flo Bhd, an information technology services provider that Ngan Choy and his brother Fook Choy took control of in 2019 through YBG Yap Consolidated Sdn Bhd, acquiring a 53.32% stake for RM65.21mil or 26 sen a share. The company was renamed NCT Alliance in 2021, marking its “exclusive focus” on property development.
For the acquisition of NCT World, NCT Alliance is paying RM490.2mil via the issuance of 104.17 million new shares and 917.2 million redeemable convertible preference shares (RCPS), both priced at 48 sen each.
Ngan Choy stressed that the transaction involves no cash outlay, allowing the group to preserve liquidity and maintain balance sheet flexibility as the projects ramp up.
Currently, brothers Ngan Choy and Fook Choy control the company largely through their private vehicle, YBG Yap Consolidated, which owns 48.35% of NCT. Additionally, Ngan Choy holds a personal stake of 3.16%, while Fook Choy owns 2.04%.
Following the issuance of the new shares, Ngan Choy’s direct stake will increase to 10.63% and Fook Choy’s to 3.78%, while YBG Yap Consolidated’s stake will be slightly diluted to 43.65%.
If the RCPS are fully converted later, Ngan Choy’s personal shareholding would rise further to 31.41% and Fook Choy’s to 8.64%, while YBG Yap Consolidated’s portion would ease to 30.58%.
Taken together, this means the two brothers could end up controlling about 70.63% of NCT Alliance.
