- Eco World Development Group has proposed to buy 2,198.4 acres of leasehold land in Ijok, Kuala Selangor for RM1.2 billion via its unit, Paragon Pinnacle.
- The deal would provide the firm with sizeable tracts of land in the North-Western growth corridor of the Klang Valley that will enable it to establish a dominant presence in that area, with access to a new market catchment to complement its strong township positioning.
- The company has identified three projects to be carried out, which includes a mixed-eco township project, an integrated gated industrial hub as well as another residential project.
- The proposed acquisitions are expected to be completed by the 2H16 and will be funded through a combination of internal funds, bank borrowings and/or equity funding.
Significance: The group plans to invite institutional, private equity and corporate partners to co-invest in Paragon Pinnacle, but intends to maintain a minimum of a 30 percent equity stake in the unit. The estimated gross development value of the planned projects on the acquired land is RM15 billion over a 15-year development.
Contributed by Shares Investment
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