PETALING JAYA: UPA Corp Bhd has proposed to diversify its existing operations to include property development and property investment.
The move comes as UPA’s core paper and plastic based product and machine trading face financial headwinds such as losses and margin pressures.
In a filing with Bursa Malaysia, UPA noted it is venturing into the property through its maiden project in Seri Kembangan, Selangor.
Undertaken by indirect wholly-owned subsidiary Danau Cekal Sdn Bhd, the development consists of 13 units of three-storey semi-detached factories with mezzanine floors on a 3.03-acre parcel of land.
The land was acquired in 1994 and carries an estimated gross development value (GDV) of RM94mil and estimated gross development costs (GDC) of RM68.32mil, yielding an expected gross development profit of RM25.78mil.
Development commenced in March 2025, and has achieved 67% completion as of Sept 23, 2026, and is targeted for completion in the second quarter of 2027, UPA noted in the filing.
The project is funded entirely via internally generated funds with no added corporate liabilities.
Because the project is expected to contribute 25% or more to net profits or divert 25% or more of net assets, UPA will seek shareholder approval at an upcoming extraordinary general meeting.
