PETALING JAYA: EWI Capital Bhd, formerly known as Eco World International Bhd
, is exiting its Macquarie Park development in Sydney, selling the land to Versione NODE Sdn Bhd for RM89.66mil.
The 2,751 sq m site had previously been considered for joint development under a non-binding framework agreement with JLG Investment Holdings Sdn Bhd, including potential residential and industrial projects.
However, following further evaluation, EWI Capital decided the opportunity did not align with its “strategic priority of restoring profitability” quickly, and opted to exit the project.
Proceeds from the sale, the group said, will be used primarily to fund the company’s investment in the TrustCapital Australian Office Fund No 3 (AOF3), a wholesale property fund targeting up to AU$1bil in prime Australian office assets with an expected internal rate of return of at least 10% per annum.
In a Bursa Malaysia filing, EWI Capital stated it has deployed AU$77.7mil (RM217.71mil) into the fund to date.
“The group is expecting to complete the subscription into AOF3 in the second quarter ending April 30, 2026 (2Q26) and start generating income thereon,” it said.
EWI Capital said the estimated loss from the proposed disposal is AU$4.23mil (RM11.86mil).
The proceeds from the sale will be used primarily to repay EWI Investment Holdings Ltd’s (EWIIH) existing financing facility of AU$21.2mil (RM59.4mil), with EWIIH, a wholly-owned subsidiary of EWI Capital, serving as the anchor investor in the AOF3.
In addition, AU$10.59mil (RM29.66mil) will be allocated for surcharge purchaser duty and estimated land tax, with the remaining funds to cover other expenses related to the disposal.
Separately, EWI Capital reported no revenue for 1Q26 yesterday, consistent with the previous corresponding quarter, with net loss widening to RM10.88mil from RM3.75mil.
The group said its projects in Australia had been fully sold and handed over to purchasers in the financial year ended Oct 31, 2025 (FY25), resulting in lower sales activity in the current quarter.
Revenue from its joint ventures, on the other hand, fell sharply to RM790,000 from RM54.96mil in 1Q25, with the group’s effective share at RM500,000 compared with RM39.25mil previously.
“The unsold completed inventories at both joint ventures have been progressively reduced, which has resulted in lower sales for the current quarter compared with the corresponding previous year quarter,” EWI Capital explained.
EWI Capital said the higher losses were mainly due to RM5.71mil in impairment losses on amounts owed by EWL Living, the group’s UK development arm, up from RM2.93mil in 1Q25, amid slower sales and ongoing overheads.
Other factors included lower interest income after deploying funds into AOF3, the full write-off of its joint venture investments, and finance costs from loan drawdowns to fund AOF3.
EWI Capital said it recorded RM4mil in sales based on contracts exchanged in the first four months of FY26.
“Together with reservations amounting to RM25mil, total sales achieved to date stand at RM29mil,” it added.
“As at Feb 28, 2026, 99% of launched units have been sold, with completed units available for sale valued at approximately RM105mil — about 60% commercial and the rest residential.”
Versione NODE, the purchaser of Macquarie Park, is jointly owned by Ascension Synergy Sdn Bhd, a wholly-owned subsidiary of Eco World Development Group Bhd (EcoWorld Malaysia), and JLG Land Macquarie Park Sdn Bhd, a company related to JLG Investment Holdings Sdn Bhd.
EcoWorld Malaysia holds a 30% stake in EWI Capital.
EWI Capital president and chief executive officer Datuk Teow Leong Seng said the proposed disposal represents “an important step in EWI Capital’s strategy to recycle capital and accelerate our transition towards an investment-led business model.”
“While the Macquarie Park site has development potential, the group believes the benefits and risk-return profile of investing in mature office assets via AOF3 currently outweigh that of undertaking the development,” he said.
“Residential development would require significant upfront capital commitment and a development timeline that is dependent on the rate of sales, which can introduce uncertainty in the timing of capital recovery and profit recognition. In contrast, mature office assets provide immediate rental income and relatively predictable cash flows.”
In a separate announcement, EcoWorld Malaysia said its wholly-owned subsidiary, Ascension Synergy Sdn Bhd (ASSB), and JLG Group had entered into three subscription and shareholders’ agreements (SSAs) to jointly undertake developments in Malaysia and Australia, including a 50:50 joint venture for the Macquarie Development.
EcoWorld Malaysia said the Macquarie Park land has development approval for a 16-storey residential building comprising 123 units, with an estimated gross development value of AU$153mil, and is expected to be launched in 4Q26.
