PETALING JAYA: Crescendo Corp Bhd
(CCB) is disposing of a plot of vacant industrial freehold land in Kota Tinggi, Johor, measuring 49.720 acres to Digital Edge Data Centres (Malaysia) Sdn Bhd for RM346.53mil.
In a filing with Bursa Malaysia, the property development and construction firm said the land is currently not utilised for the group’s business operations and thus not generating any cash flows.
“The disposal will provide the CCB group with the opportunity to realise a gain on disposal and unlock the value of the land at a reasonable price.
“To generate cash flows for development projects of CCB group and should opportunities arise, take advantage of land banking opportunities and joint ventures in other strategic locations.”
CCB also said it has also earmarked RM50mil of the proceeds to be received for partial repayment of its outstanding medium term notes.
“This in turn will reduce the CCB group’s gearing ratio as well as preserve the group’s cash reserves for alternative uses such as its existing ongoing projects.”
