PETALING JAYA: Property developer Oriental Interest Bhd
(OIB) has announced that it will not proceed with the proposed acquisitions of the entire equity interest in Chin Hin (Jitra) Sdn Bhd and CHJ Motor Holdings Sdn Bhd for a total purchase consideration of RM280mil, first announced on July 27, 2026.
The company and the vendor, LLSB 1980 Holdings Sdn Bhd, have, through a termination agreement dated Oct 28, 2026, mutually agreed to terminate, revoke and rescind the conditional share sale and purchase agreement.
“The decision follows a reassessment of the company’s business strategies, diversification considerations and the strategic alignment of the proposed acquisitions with its overall business objectives.
“Among other factors, the company took into consideration the longer than anticipated timeframe and additional resources required to fulfil the relevant regulatory, approval and procedural requirements for completion,” it said in a statement.
Following the termination, OIB said neither party will have any claims against the other arising from the agreement.
Separately, OIB announced that its net profit for the fourth quarter ended Aug 31, 2026 dropped to RM25.16mil from RM39.26mil in the previous corresponding period, while revenue dropped to RM179.4mil from RM224.27mil a year earlier.
For the financial year ended Aug 31, 2026, OIB’s net profit dropped to RM96.8mil from RM122.75mil in the previous corresponding period, while revenue fell to RM680.52mil from RM850.55mil previously.
“The lower revenue and profit before tax (PBT) for both the current quarter and the financial year to date were mainly attributable to lower progress billings from the property development segment.
“The general construction segment recorded a 122% increase in year-to-date PBT, mainly due to improved project margins and effective cost management.”
Going forward, OIB said it remains well-positioned for continued growth, supported by unbilled property sales of approximately RM635.20mil as at the end of the financial quarter, an increase of RM114.80mil or 22% from RM520.40mil as at Aug 31, 2025.
“The group remains cautiously optimistic on delivering another year of positive performance in financial year 2027,” it said.
