KUALA LUMPUR: Rhong Khen International Bhd is acquiring three industrial properties in Kapar, Selangor, for RM47mil cash.
In a filing with Bursa Malaysia, the integrated household furniture manufacturer said its wholly owned subsidiaries, Uptown Promenade Sdn Bhd and Latitude Tree Furniture Sdn Bhd, had entered into sale and purchase agreements with Hsin Foong Manufacturer Sdn Bhd and Kelana Sempurna Sdn Bhd.
The properties comprise factory and office buildings located along Jalan Kapar, with built-up areas of about 108,000 sq ft, 99,000 sq ft and 110,000 sq ft.
It said the acquisition will be funded through a combination of internally generated funds and bank borrowings.
Rhong Khen said the proposed acquisition is part of its strategy to consolidate its furniture manufacturing operations in Malaysia.
“The properties are strategically located in close proximity (within 1.5 km) to Rhong Khen’s existing factories and head office, enabling operational synergies, streamlined logistics, and enhanced coordination across its business activities,” it added.
The acquisition is expected to be completed within four months from the date the relevant approvals are obtained, with a possible one-month extension.
